Val died on May 13, 2015. On July 3, 2012, she gave a $400,000 life insurance policy on her own life to son Ray. Because the value of the policy was relatively low, the transfer did not cause any gift tax to be payable.
a. What amount was included in Val’s gross estate as a result of the 2012 gift?
b. What amount was included in Val’s gross estate if the property given was land instead of a life insurance policy?
c. Refer to Part a. What amount would have been included in Val’s gross estate if she instead gave Ray the policy on April 30, 2011?