Joan made a number of gifts in the current year, which are listed in the table. Joan has already used up her lifetime transfer tax credit.

For each item, determine the value of each donee's gifts and the taxable amount. If the appropriate amount is zero, enter a zero (0).

 

Transcribed Image Text:

List of Current Year Gifts Gift to: Ben (brother) Faith (sister) Description of Gift: $17,000 cash directly to Ben. Artwork that cost $9,000 three years ago, currently worth $11,000. $14,000 cash directly to Faith. Jane (granddaughter) Tuition in the amount of $35,000, paid directly to Maryville University. Townhouse, purchased eight years ago for $150,000 and currently worth $185,000, near Maryville University for four years while in college, then it will pass to Peter as remainderman. The value of Joan's four-year term is $35,000. Gina (niece) Paul (brother-in-law) 1,000 shares of Cognac Corp. publicly traded stock that cost $35 per share 10 years ago, now worth $45 per share. Medical expenses of $19,000 paid directly to Northside Hospital on Paul's behalf. YMCA Center (public charity) Van purchased two years ago for $40,000, now worth $30,000. List of Current Year Gifts Gift to: Ben (brother) Faith (sister) Description of Gift: $17,000 cash directly to Ben. Artwork that cost $9,000 three years ago, currently worth $11,000. $14,000 cash directly to Faith. Jane (granddaughter) Tuition in the amount of $35,000, paid directly to Maryville University. Townhouse, purchased eight years ago for $150,000 and currently worth $185,000, near Maryville University for four years while in college, then it will pass to Peter as remainderman. The value of Joan's four-year term is $35,000. Gina (niece) Paul (brother-in-law) 1,000 shares of Cognac Corp. publicly traded stock that cost $35 per share 10 years ago, now worth $45 per share. Medical expenses of $19,000 paid directly to Northside Hospital on Paul's behalf. YMCA Center (public charity) Van purchased two years ago for $40,000, now worth $30,000.

Answer rating: 100% (QA)

Answer Lets determine the value of each donees gifts and the taxable amount for Joans gifts Ben Brot... View the full answer