Tracey is unmarried and owns $7 million in stock and bonds.What is the result if Tracey dies this year and leaves all of her property to a qualified charity?

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Quizplus · Accepted Answer

If Tracey leaves all of her property to a qualified charity, the entire amount will be deductible on her estate tax return. This means that her taxable estate will be reduced to zero, and she will not owe any estate tax. It is important to note, however, that the assets she leaves to the charity will still be subject to income tax in the hands of the charity.

Tracey Is Unmarried and Owns $7 Million in Stock and Bonds.What