Jessie died this past year, but she had donated long-term capital gain

securities to the United Way before she passed away. The securities had a

FMV of $100,000 and a cost basis of $55,000. Jessie's _nal tax return will

have an AGI of $150,000. What is the best strategy for her accountant to use

as it relates to the charitable donation:

A.Use the FMV of $100,000 to maximize her deduction valuation. In so

doing, the deduction on her _final tax return will be maximized as well.

B.Use the FMV of $100,000 although the overall limit of $75,000 (50% of

AGI) will be triggered.

C.Use the basis election and the entire $55,000 will be allowed.

D.Use the FMV of $100,000 as the valuation. Although the deduction will

be limited to $45,000 (30% of AGI) the administrator of the estate can

pass along the remaining carryover deduction to one of her heirs as an

inheritance.