Question: Louis Gardener established a charitable remainder trust which will pay income for life to Louis and the remainder to a local charity. Which of the

  1. Louis Gardener established a charitable remainder trust which will pay income for life to Louis and the remainder to a local charity. Which of the following statements concerning the trust is (are) correct?

I If the trust assets are includible in Gardeners gross estate, the federal estate tax charitable deduction will apply to these assets.

II Gardener can take an income tax deduction in the year the trust is created for the present value of the remainder interest.

(A) I only (C) Both I and II

(B) II only (D) Neither I nor II

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