Twenty-five years ago, Mr. Driscoll purchased an insurance policy on his own life. The policy provided a $100,000 death benefit payable to his daughter, Melanie. Mr. Driscoll paid $24,000 in premiums, and the policy's cash surrender value was $29,000 at the time of his death. Mr. Driscoll died in 2014 and the $100,000 was paid to Melanie. What are the tax ramifications (if any) of these facts?

	None of the amounts are taxable incomefor Mr. Driscoll or Melanie.
	Melanie must include the $100,000 in her gross income.
	Mr. Driscoll's executor must include the $100,000 as gross income on Mr. Driscoll's final tax return.
	Melanie must pay income tax on the $29,000 surrender value of the policy.