Joe dies late in 2017 and his estate is subject to an estate tax of $2 million. He leaves all of his assets to his daughter, Claudia. Claudia dies in early 2019. Which of the following statements is correct?

Question

Quizplus · Accepted Answer

Claudia's estate receives a credit for $2,000,000 of Joe's estate tax. This is because the estate tax is a tax on the transfer of property at death, and Claudia is the recipient of Joe's property. The credit is designed to prevent double taxation of the same property.

Joe Dies Late in 2017 and His Estate Is Subject