When an individual gives his or her child an income-producing asset, he or she is:

Name: When an individual gives his or her child an income-producing asset, he or she is:
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Question

Quizplus · Accepted Answer

By giving an income-producing asset to his or her child, the individual is shifting his or her income, as the child will now be responsible for paying taxes on the income generated by the asset. This can result in a lower tax burden for the individual. This strategy is often used for estate planning purposes as well.

When an Individual Gives His or Her Child an Income-Producing