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Five years before the death of John, Marys spouse, John purchased a $6 million whole life insurance policy on his life and named his daughter,
Five years before the death of John, Marys spouse, John purchased a $6 million whole life insurance policy on his life and named his daughter, Jane, the sole beneficiary in agreement with Mary. Shortly after purchase, John transferred the policy to an irrevocable trust, naming Jane as trustee. John retained no incidents of ownership. a) Has John made a gift? Explain your response. b) Is the $5 million death benefit included in John's gross estate?
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