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The Recipient of a Gift Within the Allowable Amount

Question 97

Multiple Choice

The recipient of a gift within the allowable amount


A) does not have to report the gift, and it is not subject to taxes.
B) does have to report the gift, and it is subject to taxes.
C) must pay tax on the gift at the capital gains rate.
D) must pay tax on the gift at the ordinary income rate.

Correct Answer:

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