The following four individuals plan to leave their business to their children. They know that income tax must be paid on capital gains and income earned in their business when they die. All of them want life insurance to cover this tax burden so that their children will not have to pay the taxes owed on the business.

Lois is a partner in a small law firm. he partnership interest has a FMV of $300,000 and ACB of $50,000. So far this year, her income from the partnership is $75,000.

Seth is a radiologist and his medical practice is not incorporate. So far this year, he has earned a net business income of $325,000. He works in a hospital, so the value of his business-related assets is $5,000.

Clark owns shares in a Canadian-Controlled Private Corporation (CCPC) that qualifies for lifetime capital gains exemption (LCGE), which he has never claimed before. The FMV of his salaries is $800,000 and the ACB is $10,000. So far this year, Clark has received $100,000 in non-eligible dividends.

Angelique owns shares in a CCPC that qualifies for LCGE, which has never claimed before. The FMV of her shares is $900,000 and the ACB is $15,000. So far this year, Angelique has received $225,00 in non-eligible dividends.

Identify the person who would not need insurance coverage to cover the tax burden on their children.

a) Seth

b) Clark

c) Lois

d) Angelique