In terms of the Federal income and transfer taxes, identify what is accomplished in the following disclaimer situations occurring in 2017.

a. Lester dies without a will and is survived by a daughter, Nora, and a grandson, Nick. The major asset in Lester's estate is stock worth $3,500,000. Because Nora is already well-off and in ill health, she disclaims Lester's property.

By disclaiming her interest, Nora is able to pass the property to Nick free of any gift tax. True or False

b. Under her will, Audrey's estate is to pass $6,000,000 to her son, Raymond, and the $3,000,000 remainder to her husband, George. Raymond disclaims $510,000 of his inheritance.

Raymond's disclaimer ____________ $510,000 from being subject to estate tax. As the $510,000 now passes to ___________, it for the marital deduction.

c. Under Isaac's will, $4,000,000 is to pass to his wife Brenda, and the $5,400,000 remainder to his daughter Sybil. Brenda disclaims $90,000 of her inheritance.

Brenda's disclaimer _________ transfer tax and it ___________ the marital deduction allowed to Isaac's estate.

d. Under Tricia's will, her $3,000,000 cubist art collection is to pass to her husband, Leroy. If Leroy disclaims the collection, it passes to the San Francisco Museum of Modern Art. Leroy neither understands nor admires this type of art.

Leroy should ________ the collection and _________to the museum. In this manner, Leroy generates ________.