Gerald and Pat are husband and wife and live in New York.In 2005,they purchase an insurance policy (joint ownership) on Gerald's life and designate their daughter,Marie,as the beneficiary.The policy has a maturity value of $4,000,000 and lists ownership as tenants in common.Gerald dies first in 2015 and the insurance proceeds are paid to Marie.As to the proceeds:

Question

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Since the policy was owned as tenants in common, Gerald's gross estate includes his half of the policy value, which is $2,000,000. The remaining $2,000,000 is considered a gift from Pat to Marie.

Gerald and Pat Are Husband and Wife and Live in New