At the time of her death in 2016, Wanda has an adjusted gross estate of $6.5 million.

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At the time of her death in 2016, Wanda has an adjusted gross estate of $6.5 million. Her estate includes the family farm, with a most suitable use value of $3.3 million and a current use value of $2.3 million. The farm is inherited by Jim, Wanda's son, who has worked it for her since 1995. Jim plans to continue farming indefinitely.
a. Based on the information given, is the § 2032A election available to Wanda's estate?
b. If so, what value is used for the farm if the election is made?

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South Western Federal Taxation 2017 Corporations, Partnerships, Estates And Trusts

ISBN: 9781305874336

40th Edition

Authors: William H. Hoffman, William A. Raabe, David M. Maloney, James C. Young

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Question Posted: Sep 19, 2016 08:41 AM

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At the time of her death in 2016, Wanda has an adjusted gross estate of $6.5 million.

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a Yes In testing for the 50 requirement employ most suitable use ra...View the full answer

South Western Federal Taxation 2017 Corporations, Partnerships, Estates And Trusts

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