TRUE OR FALSE

1. Claims of the decedent against absconded persons are included in the gross estate at their full amount and are deducted in the gross estate to the extent of what cannot be collected.

2. Amount received by heirs under R.A. No. 4917 is not included in the gross estate of the decedent

3. The merger of usufruct in the owner of the naked title is an exempt transmission for estate tax purposes

4. All bequest, devises, legacies or transfers to social welfare, cultural and charitable institutions shall always be exempted from estate tax.

5. If the transfer was in the nature of a bona fide sale for an adequate and full consideration in money or moneys worth, no value shall be included in the gross estate.

6. If the consideration received is less than adequate and full consideration, the value to be included in the gross estate shall be the excess of the fair value of the property at the time of the decedents death and the consideration received

7. If there was no consideration received on the transfer (as in donation mortis causa), the value to be included in the gross estate shall be fair market value of the property at the time of decedents death.

8. It is required that for family home to be claimed as deduction, it must be the actual residence of the decedent and his beneficiaries.

9. To constitute family home, it is required that there must be a house

10. Benefits received from SSS and GSIS shall be excluded from the gross estate of the decedent whether the designation of a beneficiary is revocable or irrevocable

11. Proceeds of life insurance taken by the decedent upon his own life are included in the gross estate whether the designation of a third person as a beneficiary is revocable or irrevocable.