QUESTION 4:

Jack, a widower, died this year with a gross estate of $5.6 million. Jack made one taxable gift in his lifetime of $700,000 to his brother last year. The amount of the unified credit used to offset his taxable gift was 229,800. Funeral and administrative expenses cost $140,000. Jacks debts and mortgages totaled $300,000.

VIII.

What was Jack's adjusted gross estate? Show your work.

X.

The gift tax and the estate tax are cumulative and progressive. Taxable gifts made since 1976 are added to a decedents estate tax return as an adjusted taxable gift. Why?

XI.

In a common law state, assets that are titled jointly with rights of survivorship between spouses are deemed one-half belonging to each spouse upon death.

True

False