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Business, 14.05.2021 01:00 lpslover26237

Donald dies this year, and under his will, a trust is created in the amount of $6,902,000 with the following provisions: life estate to Cindy (Donald's wife) and remainder to their children. His will also passes land (cost basis of $273,800 and fair market value of $821,400) to the Salvation Army for the site of a new homeless housing project. a. If a QTIP election is made, how much will these transactions reduce Donald’s gross estate to arrive at the taxable estate?
b. If a QTIP election is not made, how much will these transactions reduce Donald’s gross estate to arrive at the taxable estate?

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Donald dies this year, and under his will, a trust is created in the amount of $6,902,000 with the f...
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