In the last will and testament, a decedent provided that the properties he leaves should not be sold or disposed of for ten years following his death. He had real estate in his gross estate as follows:

At the time of death – zonal value of P500,000

At the end of ten years after his death:

 Fair market value – P2,500,000;

 Declared value in the estate tax return – P1,5000,000

 Zonal value – P3,000,000.

What value shall be used for purposes of the estate tax?

(a) P3,000,000 

(b) P1,500,000 

(c) P2,500,000 

(d) P500,000.

Answer rating: 100% (QA)

The correct answer is option D which i... View the full answer