Becky purchased a P1,500,000 life insurance policy for P100,000. During the year, Becky died and her heirs collected the entire proceeds. How much of the proceeds is exempt from from income tax?

Q: Jonathan transferred $90,000 of cash to a trust this year for the benefit of Hannah, age 10. The…

A: Gift tax According to Internal Revenue Service (IRS) gift tax may be applicable to any kind of…

Q: his year, Janelle received $200,000 in life insurance proceeds. The proceeds related to a life…

A: Taxable income is the portion of an individual's or a company's income that is used to determine how…

Q: Ben and Miranda recently sold some land they owned for $150,000. They received the land and a check…

A: The property is the gift offered by the donor to the donee, so the donor’s time period of holding…

Q: Mr. Ernesto dela Cruz, had the following during the taxable year: • P1,500,000 for outliving his…

A: According the Philippines taxation there are some rules and procedures which are involved while…

Q: Bruce and June were married. At the time of Bruce's death, they owned the following: land as tenants…

A: Marital Deduction Allowed The marital deduction allows for a deduction from the adjusted gross…

Q: Mr. and Mrs. Mapagbigay made the following donations during 2021: • Jan 25 To Jon, their legitimate…

A: Donor Taxes Donor tax which was applicable for the donation and gift which are paid by one party to…

Q: What amount is included in the sibling's net income for tax purposes from the sale of the land?| $…

A: Given information is: H sold land to his sibling for $200,000. The land is used for farming and at…

Q: The following unmarried individuals died in 2016. The estate of John Lexington has a taxable value…

A: According to the federal state taxes law, persons who have an estate value after deductions worth…

Q: While vacationing in Florida in November, Sally was seriously injured in an automobile accident (she…

A: Taxpayer refers to individual, person or firm who are liable to pay the tax to the regulatory…

Q: Nicanor left the following bank deposits upon his death: - Uno Bank- 1,000,000 - Dos Bank-…

A: Final taxes refers to the taxes which are prescribed on certain income and once the income of the…

Q: Morgan, a widow, recently passed away. The value of her assets at the time of death was $10,109,000.…

A: Hi student Since there are multiple sub parts, we will answer only first three sub parts.

Q: Becky purchased a P1,500,000 life insurance policy for P100,000. During the year, Becky died and her…

A: life insurance policy proceeds include premium paid. So in this case ,life insurance policy proceeds…

Q: .  What is Donna's charitable contribution deduction? The stock is treated as ordinary income…

A: Charitable contribution: Charitable contribution can be defined as donation made to any non-profit…

Q: What amount of gift tax applicable credit remains available to Norma in 2021?

A: The gift tax is a tax on gifts that must be paid by the taxpayer who gives significant money or…

Q: Mr. Ernesto dela Cruz, had the following during the taxable year  • P1,500,000 for outliving his…

A: According the Philippines taxation there are some rules and procedures which are involved while…

Q: Jean died in a common-law state in 2022 and was survived by her husband, Loren, and three adult…

A: A federal tax on the property of a person who dies is known as the Federal estate tax. The gross…

Q: What are the tax consequences resulting from Ms. Stein's death with respect to the two assets?

A: Given information is: At the time of her death, Mary Stake owns two depreciable assets. Her will…

Q: A taxpayer died, leaving a large estate. At that time, the taxpayer solely owned a $1,000,000 life…

A: Estate is defined as the value of property or assets owned by a person who has died. Estate tax has…

Q: Christina, who is single, purchased 460 shares of Apple Inc. stock several years ago for $20,240.…

A: A deductible is an expense that an individual taxpayer or a business can deduct from adjusted gross…

Q: This year, Leron and Sheena sold their home for $848,000 after all selling costs. Under the…

A: Given information is: Sale value of Home = $848,000

Q: Ms. ABC bought a life insurance policy on her own life for a premium of P50,000 per annum for 10…

A: Life insurance proceeds received by the beneficiary of the insured person are not included in the…

Q: Mr. and Mrs. Pi gave the following gifts of conjugal property on July 15, 2021. To Barangay Delm, a…

A: Donor Tax The applicable tax rate for Donor tax is 6% and the qualified exemption for the donor tax…

Q: Vlad died on October 20, 2018. During his lifetime, upon knowing that he had Stage 4 cancer, sold…

A: Given Information: Sales value of Lamborghini car    -   P4,000,000 Fair market value at the time of…

Q: .Mrs. A took out a life insurance policy for 500,000 naming her son as beneficiary. Under the terms…

A: SOLUTION EVEN THOUGH MRS A OUTLIVED THE POLICY , THE ENTIRE PROCEEDS ARE NOT AUTOMATICALLY TAX…

Q: Heather makes cash contributions during the current year of $30,000 and donates property worth…

A: Capital gains refer to the profit earned over when a capital asset is being sold more than its…

Q: In the year of her death, P owned a rental property – land (FMV $300,000; cost $230,000), building…

A: Taxable income is the income of a business that is liable to taxation. Different economies define…

Q: a. This year Casey made a taxable gift of $1 million to Stephanie. Casey is not married, and the…

A: Gift tax due= $0

Q: What amount, if any, does Bob’s estate exceed the $11,000,000 exclusion amount?

A: Federal gift tax can be defined as the amount of tax to be paid by the transferor of the property to…

Q: During 2021, Inez (a single taxpayer) had the following transactions involving capital assets: Gain…

A: b(i) Here, Inez is in the 32% tax bracket, so her regular tax rate of 32% exceeds the alternative…

Q: In December of 2018, Jack made a gift of $2,000,000 to Suzy. At the same time in December of 2018,…

A: Taxable gifts refer to the amount or resources which are provided by the taxpayer to another person…

Q: Robert acquired his rental property 10 years ago for $110,000 and sold it in the current year for…

A: Depreciable cost=Cost of property-Accumulated depreciation=$110,000-$35,000=$75,000

Q: iz had AGI of $130,000 in 2020. She donated Bluebird Corporation stock with a basis of $10,000 to a…

A: Fair market value: It is the price of the asset on which asset is sold in the market providing…

Q: For tax year 2020: George and Nancy were husband and wife. At the time of George's death, they owned…

A: For year 2020, the marital deduction allows the spouse of the person with unlimited amount which…

Q: Walter owns a whole-life insurance policy worth $55,800 that directs the insurance company to pay…

A: Net Value of Insurance policy which will be included upon death is the amount that will be received…

Q: Christina had a $12,000 gain on the sale of stock purchased three years ago, a $4,000 loss on…

A: Given information: Long-term capital gain on sale of stock = $12,000 Short-term capital loss from…

Q: of her mother's life insurance resulting from her death. Premiums paid totaled P780,000. • Increase…

A: According the Philippines taxation there are some rules and procedures which are involved while…

Q: Clara received from her Aunt Sona property with a FMV at the date of the gift of $30,000. Aunt Sona…

A: Asset sale occur when the assets ( tangible or intangible) is sold by the company. The sales can be…

Q: Mrs. A took out a life insurance policy for 500,000 naming her son as beneficiary. Under the terms…

A: SOLUTION TAXABLE INCOME IS THE PORTION OF INDIVIDUALS OR A COMPANY'S INCOME USED TO CALCULATE HOW…

Q: conjugal property

A: Donation tax is the tax which is charged on the donations given by the donor not by the recipient of…

Q: Melissa sold some of her Bitcoin in 2021 for a $200,000 long-term capital gain, bringing her total…

A: When a capital asset is sold, the phrase capital gain refers to the rise in its value. Simply put, a…

Q: During her lifetime, Elaine made several property transfers, including the following: a) The…

A: As per the Federal rules any gift given in the year 2022 exceeding $16,000 to a single person will…

Q: Kevin purchased a house 20 years ago for $100,000 and he has always lived in the house. Three years…

A: A. $ 0

Q: During his lifetime, Miguel donated and transferred the ownership of a real property to his eldest…

A: Estate Taxes In simple word in the estate taxes which was incurred inheritance should be subject to…

Q: Allan left the following bank deposits upon his death: - A bank- 1,000,000 - B bank- 2,000,000 -…

A: Gross estate is the actual property value. If a person has died then the gross estate is equal to…

Q: Val died on May 13, 2021. On July 3, 2018, she gave a $400,000 lite insurance policy on her own lite…

A: a. The amount of life insurance proceeds shall be included in the deceased gross estate if the…

Q: What is Ashley’s adjusted basis of the property?

A: Solution:- Adjusted basis of Property :- Adjusted basis refers to how much you lose or gain when you…

Q: Under Megan's will, $10,000 a year is to be paid to his widow and $5,000 a year is to be paid to his…

A: Gross income (GI) refers to the income which involves the wages, retirement distributions,…