Bob died in 2020. He left an estate worth $20,000,000, a surviving spouse, and a two trust will which creates a marital trust and a credit shelter trust, how much property should go into each trust to minimize the estate taxes at Bob's death and at the death of the surviving spouse? $10,000,000 into each trust. $20,000,000 into the marital trust and nothing into the credit shelter trust. Approximately $11,500,000 into the marital trust and approximately $4,500,000 into the credit shelter trust. Approximately $11,500,000 into the credit shelter trust and the balance of the estate into the marital trust.
Bob died in 2020. He left an estate worth $20,000,000, a surviving spouse, and a two trust will which creates a marital trust and a credit shelter trust, how much property should go into each trust to minimize the estate taxes at Bob's death and at the death of the surviving spouse? $10,000,000 into each trust. $20,000,000 into the marital trust and nothing into the credit shelter trust. Approximately $11,500,000 into the marital trust and approximately $4,500,000 into the credit shelter trust. Approximately $11,500,000 into the credit shelter trust and the balance of the estate into the marital trust.
Chapter19: Family Tax Planning
Section: Chapter Questions
Problem 33P
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Question
Bob died in 2020. He left an estate worth $20,000,000, a surviving spouse, and a two trust will which creates a marital trust and a credit shelter trust, how much property should go into each trust to minimize the estate taxes at Bob's death and at the death of the surviving spouse?
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$10,000,000 into each trust.
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$20,000,000 into the marital trust and nothing into the credit shelter trust.
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Approximately $11,500,000 into the marital trust and approximately $4,500,000 into the credit shelter trust.
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Approximately $11,500,000 into the credit shelter trust and the balance of the estate into the marital trust.
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