The federal estate tax may be reduced by a credit for state

A. Gift taxes on gifts made two years before death.

B. Income taxes paid in the year of death.

C. Death taxes.

D. Intangible property taxes.

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When a shareholder contributes property to obtain stock, what will determine the valuation

of the investment, when the total shares owned by contributors of cash and property is greater

than 80%?

I. The adjusted basis of the property.

II. The fair market value of the property.

A. I only

B. The lesser of I and II.

C. The greater of I and II.

D. II only

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Identify the correct statement about Schedules M-1 and M-3:

Reconciles Book Income (Loss) with Distinguishes Between Permanent and Income per Return Temporary Differences

A. Both Schedule M-1 and Schedule M-3 Schedule M-3 Only

B. Schedule M-1 Only Both Schedule M-1 and Schedule M-3

C. Both Schedule M-1 and Schedule M-3 Neither Schedule M-1 nor M-3

D. Both Schedule M-1 and Schedule M-3 Schedule M-1 Only