Which of the following statements is(are) true for both gratuitous and testamentary transfers?

Question

Quizplus · Accepted Answer

Both gratuitous and testamentary transfers allow for a charitable and a marital deduction in computing the taxable transfer. Choice A is incorrect as it refers to the unified credit, which only applies to estate tax and not gift tax. Choice B is incorrect as it refers to the annual exclusion, which only applies to gift tax and not estate tax. Choice C is incorrect as it refers to the option to split gifts, which only applies to gift tax and not estate tax.

Which of the Following Statements Is(are) True for Both Gratuitous