$1.$ Mel and Oksana decide to make an estate plan. What are the appropriate steps to create an estate plan? What practitioners should be included in the estate planning discussions and what are the roles of each practitioner? $($Value $-12$ points$)$

$2.$ Assuming Mel died December $31,2022,$ calculate his gross estate. For full credit, identify each asset and its value. $($Value $-10$ points$)$

$3.$ Assuming Mel died December $31,2022,$ calculate his probate estate. For full credit, identify each asset and its value. $($Value $-10$ points$)$

$4.$ Assuming Mel died December $31,2022,$ calculate the Marital Deduction available for estate transfers to Oksana. $($Value $-10$ points$)$

$5.$ Assume Mel died December $31,2022.$ For this question only, assume that the estate tax liability due is $$10,605,111,$ and Hanna is appointed executor. Unfortunately, Hanna forgot to file an Estate Tax Return $($Form $706)$ and pay the estate tax due until $38$ days after the return$$s due date. How much is the total penalty for failure$-$to$-$file and failure$-$to$-$pay? $($Note this is not the actual estate tax liability due.$)($Value $-10$ points$)$

$6.$ What is the amount of Mel$$s total taxable gifts for $2018$ and $2019($less the annual exclusion and qualified transfers$)?($Value $-10$ points$)$

$7.$ Calculate Mel$$s gift tax due for $2018$ and $2019.$ Show your work. Even if the tax due is zero, show your calculation to earn full credit. $($Value $-10$ points$)$

Use the following scenario to answer questions $8$ through $12.$

Assume, for Questions $8$ through $12$ only, that Mel and Oksana were married today. They went straight to Mel$$s lawyer$$s office to execute new wills. On the way home from executing a valid will leaving all assets to Oksana, Mel and Oksana were in a serious car accident. Mel was comatose for several days before dying. His unpaid medical expenses were $$150,000.$ The day after Mel died; Oksana gave Mel's children and grandchildren each $$30,000$ then left for Russia to stay with her mother. Which of the following postmortem elections would be available to Mel$$s executor?

a$.$ Yes, this election would be available.

b$.$ No$,$ this election would not be available.

Question

$8.$ A QTIP election for the assets transferred to Oksana.

$9.$ A deduction on Mel$$s final income tax return for the unpaid medical expenses.

A split$-$gift election for gifts Oksana made to the Mel$$s children the day after

Mel$$s death.

$11.$ Special use valuation for Braveheart.

$12.$ Married Filing Jointly filing status for the current year.

$($Value $=2$ points each for questions $8-12)$

$10.$

$13.$ Mel is considering transferring his life insurance policy to an ILIT. What benefits could Mel gain by implementing an ILIT? What risks does Mel face using an ILIT? $($Value $-10$ points$)$

$14.$ What trust options $($besides an ILIT$)$ would you recommend as part of Mel and Oksana$$s overall estate plan? Why? $($At least $3$ trust options must be discussed for full credit.$)$

$($Value $-12$ points$)$

$15.$ If Mel were to die December $31,2022,$ what would his taxable estate be$?($Value $-10$ points$)$

$16.$ If Mel were to die December $31,2022,$ what would his tentative estate tax be$?($Value $-10$ points$)$

$17.$ If Mel were to die December $31,2022,$ what would his federal estate tax liability be$?($Value $-10$ points$)$

$18.$ If Mel decided to sell the vacation property today for the Fair Market Value, what would his gain or loss be$?($Value $-10$ points$)$

$19.$ Assume for this question only that Oksana has a healthy baby girl and they name her Lucia. The stress of the new baby deteriorates their relationship and Mel and Oksana break up $6$ months later. Mel is ordered by the court to pay $$65,000$ a month

in child support to Oksana which includes $$120,000$ a year for day care costs. What is Mel$$s yearly taxable gift to Oksana and how much is deductible for income tax? $($Value $-10$ points$)$

$20.$ Assume Mel had charitable inclinations and decided he wanted to bequeath something to charity. Which of his assets would be the most advantageous to leave to the charity considering the tax effects on other non$-$charitable beneficiaries? $($Value $-10$ points$)$

$21.$ Assume Mel and Oksana had Lucia today and Mel wanted to create a trust for Lucia$$s future benefit. Mel would like to create a trust that allows him to make use of the annual exclusion. He wants the trust to accumulate income until Lucia reaches age $21,$ at which point the entire trust will be distributed to Lucia. Which trust would be appropriate to accomplish Mel$$s goals? $($Value $-10$ points$)$

$22.$ Mel is considering changing his will today. He wants the new will to leave everything to Oksana. Name and explain at least four clauses that should Mel consider including in his will. $($Value $-16$ points$)$

$23.$ Mel is aware that estate taxes may be due upon his death. What strategies could be implemented to deal with the payment of those taxes? $($Hint $-$ at least $3$ strategies must be addressed for full credit.$)($Value $-10$ points$)$

BONUS QUESTION:

Would Mel$$s second will be admissible to probate in Texas? Why? $($Value $-10$ bonus points$)$