Identify Which of the Following Statements Is True

Identify which of the following statements is true.

A) An individual can inadvertently make a gift by underestimating a property's fair market value and selling it to a relative for a price below its fair market value.
B) The statutory exemption from the gift tax for payments for medical care requires that the payment be made for a relative.
C) A taxable gift may occur when property is sold in an arm's length transaction for less than its FMV.
D) All of the above are false.