18. John and Shay have been married for 12 years. John had a net worth of $20,000,000 when he died in 2018. Which of the following scenarios would incur the lowest overall (at John's death and Shay's death) estate taxes assuming the property transfers at equal value at the death of both individuals and utilizing 2018 estate tax rates? Assume that portability is not elected. Which of the following scenarios would incur the highest overall (at John's death and Shay's death) estate taxes assuming the property transfers at equal value at the death of both individuals and utilizing 2018 estate tax rates? Assume that portability is not elected. For full credit, show your calculations for each scenario and justify your answer. a. John's will directs the transfer of $15,000,000 to his two children and the remainder of his assets to his wife, Shay. b. John's will directs that all of his property is transferred to Shay. c. At John's death, specific bequests totaling $1,000,000 are transferred per the direction of the will to individuals other than Shay. The remainder of the assets are transferred to a trust with the income payable to Shay for her life and the remainder interest payable to the children at Shay's death. John's executor elected to treat this as a QTIP trust. d. In his will, John funds a trust with $11,180,000 for the benefit of his two children. Shay will receive an annual income distribution from the trust. All other assets will transfer to Shay. 19. Naomi has been married to Keith for 18 years. Keith is an Australian citizen. Anna would like to make an inter vivos transfer to Keith. What is the maximum amount that Anna can transfer to Keith without incurring transfer taxes or utilizing any of her applicable credit during 2019? 20. Rebekah died in 2019. She had been married to Robert for 22 years, and the two had amassed a community property estate of $50,000,000. Rebekah's will directs three specific bequests to her mother, brother, and father of $8,000,000, $500,000, and $12,000,000, respectively and creates a bypass trust to receive property equal to any remaining applicable estate tax credit available after her specific bequests. The bypass trust gives Robert the right to income for his life and the remainder of the trust to her two sons and leaves the residue of the estate to Robert. Rebekah's will directs the residue to be used to pay the estate taxes. What is the marital deduction on Rebekah's federal estate tax return? 18. John and Shay have been married for 12 years. John had a net worth of $20,000,000 when he died in 2018. Which of the following scenarios would incur the lowest overall (at John's death and Shay's death) estate taxes assuming the property transfers at equal value at the death of both individuals and utilizing 2018 estate tax rates? Assume that portability is not elected. Which of the following scenarios would incur the highest overall (at John's death and Shay's death) estate taxes assuming the property transfers at equal value at the death of both individuals and utilizing 2018 estate tax rates? Assume that portability is not elected. For full credit, show your calculations for each scenario and justify your answer. a. John's will directs the transfer of $15,000,000 to his two children and the remainder of his assets to his wife, Shay. b. John's will directs that all of his property is transferred to Shay. c. At John's death, specific bequests totaling $1,000,000 are transferred per the direction of the will to individuals other than Shay. The remainder of the assets are transferred to a trust with the income payable to Shay for her life and the remainder interest payable to the children at Shay's death. John's executor elected to treat this as a QTIP trust. d. In his will, John funds a trust with $11,180,000 for the benefit of his two children. Shay will receive an annual income distribution from the trust. All other assets will transfer to Shay. 19. Naomi has been married to Keith for 18 years. Keith is an Australian citizen. Anna would like to make an inter vivos transfer to Keith. What is the maximum amount that Anna can transfer to Keith without incurring transfer taxes or utilizing any of her applicable credit during 2019? 20. Rebekah died in 2019. She had been married to Robert for 22 years, and the two had amassed a community property estate of $50,000,000. Rebekah's will directs three specific bequests to her mother, brother, and father of $8,000,000, $500,000, and $12,000,000, respectively and creates a bypass trust to receive property equal to any remaining applicable estate tax credit available after her specific bequests. The bypass trust gives Robert the right to income for his life and the remainder of the trust to her two sons and leaves the residue of the estate to Robert. Rebekah's will directs the residue to be used to pay the estate taxes. What is the marital deduction on Rebekah's federal estate tax return
