Which of the following statements regarding the valuation of property for the purpose of applying the generation-skipping transfer tax (GSTT) are correct?For direct skips during life, the valuation date is the date of completion of the gift.For direct skips at death, the valuation date is the same as the valuation date used for estate tax purposes.If special use valuation is used for the estate tax calculation, the same value is used for a direct skip of such property in computing the GSTT.For indirect skips, the valuation date is the value of the property on the date that a taxable distribution or termination occurs. A)II, III, and IV B)I and III C)II and IV D)I, II, III, and IV

Answered: Which of the following statements…

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter18: The Federal Gift And Estate Taxes

Section: Chapter Questions

Problem 6DQ

See similar textbooks

Related questions

Question

Which of the following statements regarding the valuation of property for the purpose of applying the generation-skipping transfer tax (GSTT) are correct?

For direct skips during life, the valuation date is the date of completion of the gift.
For direct skips at death, the valuation date is the same as the valuation date used for estate tax purposes.
If special use valuation is used for the estate tax calculation, the same value is used for a direct skip of such property in computing the GSTT.
For indirect skips, the valuation date is the value of the property on the date that a taxable distribution or termination occurs.

A)II, III, and IV

B)I and III

C)II and IV

D)I, II, III, and IV

Expert Solution

Step 1

The tax that is levied on transferring the property as a gift by inheritance in which there is an age difference of 37 and half years between the beneficiary and donor.

The flat rate for GSTT is 40%.