Deck 15: Tax Considerations in the Administration of Estates

Question 1

MATCHING

The United States Estate Tax Return

Answer 1

I

Question 2

MATCHING

Tax levied on wages,rents,pensions,annuities,royalties,alimony,and dividends

Answer 2

B

Question 3

MATCHING

Tax levied on a donee who transfers property during life

Answer 3

C

Question 4

Any state in which a decedent held property may impose estate tax on the decedent's estate.

Question 5

MATCHING

The United States Gift Tax Return

Question 6

The personal representative is generally responsible for paying all taxes out of estate assets.

Question 7

Death tax payments are assessed against all income brackets,from the poor to the wealthy.

Question 8

Estate tax is a type of death tax.

Question 9

MATCHING

A law that replaced the unified credit with an applicable credit amount

Question 10

MATCHING

The Application for Extension of Time to File a Return and/or Pay United States Estate Taxes

Question 11

Every transferor is allowed a lifetime exemption from the generation-skipping transfer tax.

Question 12

MATCHING

The United States Individual Income Tax Return

Question 13

Trust income is not subject to federal income tax.

Question 14

The federal unified gift and estate tax rate is a progressive and cumulative tax.

Question 15

MATCHING

The Application for Automatic Extension of Time to File a United States Individual Income Tax Return

Question 16

MATCHING

Tax levied on an estate for the transfer of property upon death

Question 17

All states have adopted the Uniform Transfers to Minors Act.

Question 18

MATCHING

A law that allows any kind of real or personal property to be transferred to a custodianship as a gift to a minor

Question 19

The gross estate is the taxable estate.

Question 20

After a decedent's death,his or her estate is a new legal entity.

Question 21

Which of the following states imposes an inheritance tax on successors?

A)Kentucky
B)Minnesota
C)South Carolina
D)Wyoming

Question 22

Which does NOT generally have to be filed by April 15?

A)Federal Estate Tax Return
B)Federal Income Tax Return
C)Federal Gift Tax Return
D)Most state income tax returns

Question 23

Which is an example of a Qualified Terminable Interest Property QTIP)property?

A)A trust with a life interest to the surviving spouse and remainder to the children
B)An automobile
C)A homestead
D)A life insurance policy with a one-time lump sum payment to the surviving spouse

Question 24

Which is NOT a reason that many people die without a valid will?

A)Inheritance tax
B)Estate tax
C)Gift tax
D)Income tax

Question 25

Which state has a state income tax?

A)New York
B)Nevada
C)Washington
D)Florida

Question 26

Bob and Mary have a son,Steven,and a granddaughter,Kelly.If Bob made a transfer of interest in property to Kelly,who would be the skip person?

A)Kelly
B)Bob
C)Mary
D)Steven

Question 27

A testator's estate is entitled to the marital deduction if:

A)There is a surviving spouse and the decedent leaves all or a portion of the estate to him or her.
B)There is a surviving heir other than the spouse,and the decedent leaves all or a portion of the estate to the surviving heir.
C)There is no surviving spouse,but had there been,the decedent would have left all or a portion of the estate to him or her.
D)The marital deduction is not allowed because it has been repealed.

Question 28

Which does the personal representative NOT have to file?

A)Federal Sales Tax Return
B)State Estate Tax Return
C)Federal Individual Income Tax Return
D)State Individual Income Tax Return

Question 29

Which CANNOT be subtracted from the gross estate to determine the taxable estate?

A)The lessening of the value of estate assets
B)Charitable deductions
C)Certain expenses,liens,and encumbrances
D)Marital deduction

Question 30

A joint federal tax return can be filed for the decedent ONLY if:

A)The surviving spouse agrees to file a joint return.
B)The surviving spouse remarried before the close of the year.
C)The surviving spouse lives in a different state.
D)The decedent was employed prior to his or her death.