ch 10-13 Estate Planning Exam
questions n correct answers
Which of the following GST is not made to a skip person?
a. a gift made from a grandfather to his great granddaughter
b. a gift made from a great aunt to her great niece
c. a gift made from a grandmother to her granddaughter after the granddaughter's parent died
d. a transfer of $100,000 to an irrevocable trust for the sole benefit of the transferor's grandson,
who is the only trust beneficiary - correct answer ✔✔ C. a gift made from a grandmother to her
granddaughter after the granddaughter's parent died
Which of the following gifts made by Tristan, age 49, is subject to the generation-skipping
transfer tax?
A)
$15,000 to his grandson
B)
$20,000 to his niece, age 6
C)
Payment of medical school tuition for the granddaughter of Joe, Tristan's best friend.
D)
$20,000 to the daughter (age 6) of Tristan's former college roommate - correct answer ✔✔ D)
$20,000 to the daughter (age 6) of Tristan's former college roommate
Harold (age 63) established a trust and named his wife, Betty (age 40) as income beneficiary for
20 years. After 20 years, Harold's son Nelson (age 30, and nephew Ben (age 22) are to receive
lifetime income interests. After the death of both Nelson and Ben, the remainder passes equally
to Harrolds granddaughter, Amy (age 20) and great grandson, Mason (age 1). assume Nelson
, died 22 years after the trust was established and Ben died 34 years after the trust was
established. Assuming both Amy and Mason were laive when Ben died, how many times is the
generation-skipping transfer tax levied?
A)Never
B)One
C)Twice
D)Three times - correct answer ✔✔ B. One
Which of the following gifts made by Tristan, age 49, is subject to the generation skipping
transfer tax?
A)
$15,000 to his grandson
B)
$20,000 to his niece, age 6
C)
Payment of medical school tuition for the granddaughter of Joe, Tristan's best friend.
D)
$20,000 to the daughter (age 6) of Tristan's former college roommate - correct answer ✔✔ D)
$20,000 to the daughter (age 6) of Tristan's former college roommate
Ronald wants to make a cash gift of $300,000 directly to his granddaughter, Elson, who is the
daughter of his son, Cody. Ronald wants to complete the gift only if the gift will not result in any
GSTT or require him to use any of his GSTT exemption amount. Which of the following info must
Ronald's financial planner secure o address Ronalds concerns?
1. Ronald's age
2. the granddaughter's age
3. whether Cody is still living
4. whether the granddughter is married - correct answer ✔✔ a. 3 only
questions n correct answers
Which of the following GST is not made to a skip person?
a. a gift made from a grandfather to his great granddaughter
b. a gift made from a great aunt to her great niece
c. a gift made from a grandmother to her granddaughter after the granddaughter's parent died
d. a transfer of $100,000 to an irrevocable trust for the sole benefit of the transferor's grandson,
who is the only trust beneficiary - correct answer ✔✔ C. a gift made from a grandmother to her
granddaughter after the granddaughter's parent died
Which of the following gifts made by Tristan, age 49, is subject to the generation-skipping
transfer tax?
A)
$15,000 to his grandson
B)
$20,000 to his niece, age 6
C)
Payment of medical school tuition for the granddaughter of Joe, Tristan's best friend.
D)
$20,000 to the daughter (age 6) of Tristan's former college roommate - correct answer ✔✔ D)
$20,000 to the daughter (age 6) of Tristan's former college roommate
Harold (age 63) established a trust and named his wife, Betty (age 40) as income beneficiary for
20 years. After 20 years, Harold's son Nelson (age 30, and nephew Ben (age 22) are to receive
lifetime income interests. After the death of both Nelson and Ben, the remainder passes equally
to Harrolds granddaughter, Amy (age 20) and great grandson, Mason (age 1). assume Nelson
, died 22 years after the trust was established and Ben died 34 years after the trust was
established. Assuming both Amy and Mason were laive when Ben died, how many times is the
generation-skipping transfer tax levied?
A)Never
B)One
C)Twice
D)Three times - correct answer ✔✔ B. One
Which of the following gifts made by Tristan, age 49, is subject to the generation skipping
transfer tax?
A)
$15,000 to his grandson
B)
$20,000 to his niece, age 6
C)
Payment of medical school tuition for the granddaughter of Joe, Tristan's best friend.
D)
$20,000 to the daughter (age 6) of Tristan's former college roommate - correct answer ✔✔ D)
$20,000 to the daughter (age 6) of Tristan's former college roommate
Ronald wants to make a cash gift of $300,000 directly to his granddaughter, Elson, who is the
daughter of his son, Cody. Ronald wants to complete the gift only if the gift will not result in any
GSTT or require him to use any of his GSTT exemption amount. Which of the following info must
Ronald's financial planner secure o address Ronalds concerns?
1. Ronald's age
2. the granddaughter's age
3. whether Cody is still living
4. whether the granddughter is married - correct answer ✔✔ a. 3 only
