Mark and Kathy are husband and wife and live in California, a community property state. At the time of their marriage, Kathy owned several parcels of real estate
Mark and Kathy are husband and wife and live in California, a community property state. At the time of their marriage, Kathy owned several parcels of real estate
Chapter27: The Federal Gift And Estate Taxes
Section: Chapter Questions
Problem 14DQ
Related questions
Question
Mark and Kathy are husband and wife and live in California, a community property state. At the time of their marriage, Kathy owned several parcels of real estate in her sole name. To demonstrate her unqualified commitment to Mark, she retitled these properties in both their names as husband and wife.
Which one of the following statements is correct regarding these parcels after this transfer?
A)
These parcels became community property as a result of this transfer even though Kathy did not specify that the parcels were community property.
B)
These parcels became community property automatically when Mark and Kathy got married.
C)
These parcels remain Kathy's separate property because she did not specify that the property was held as community property.
D)
These parcels remain Kathy's separate property because she acquired them prior to the marriage and Mark contributed nothing.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT