Financial Planning Case Studies 743 Case Questions 1. If Bonita sells her current residence for full fair market value (excluding commissions and closing residence for $180,000 in the same calendar year, the amount of costs), and she purchases a new ins tax is a. $7,000 b. $28,296 c. $187,000 d. $257,000 Which of the following statements i 2. ming that the money Bonita received for the down "payment on her house from her father was a gift rather than a loan? L. Bonita must pay a gift tax on the amount that exceeds the gift tax annual exclusion. II. Her father should have filed a gift-splitting election with the IRS to avoid incurring a gift tax liability gift tax liability payment gift. II. Bonita should have filed a gift-splitting declaration with the IRS to avoid incurring a IV. The basis in the house is increased by the amount of any taxes paid on the down a. Il only b. I and III only c. II and IV only d. III and IV only e. I, III, and IV only Financial Planning Case Studies 743 Case Questions 1. If Bonita sells her current residence for full fair market value (excluding commissions and closing residence for $180,000 in the same calendar year, the amount of costs), and she purchases a new ins tax is a. $7,000 b. $28,296 c. $187,000 d. $257,000 Which of the following statements i 2. ming that the money Bonita received for the down "payment on her house from her father was a gift rather than a loan? L. Bonita must pay a gift tax on the amount that exceeds the gift tax annual exclusion. II. Her father should have filed a gift-splitting election with the IRS to avoid incurring a gift tax liability gift tax liability payment gift. II. Bonita should have filed a gift-splitting declaration with the IRS to avoid incurring a IV. The basis in the house is increased by the amount of any taxes paid on the down a. Il only b. I and III only c. II and IV only d. III and IV only e. I, III, and IV only