Q18
Single choice
Among the assets in a decedent's gross estate is stock in a closely held corporation that was left to a nephew. The interest passing to the nephew is required to bear the burden of all estate taxes and expenses. The relevant facts concerning this estate are:
- Adjusted gross estate $1,600,000
- Fair market value of stock in
- the closely held corporation 700,000
- Funeral expenses 30,000
- Executor's commission 50,000
- Federal and state death tax 160,000