Assignment Type:Individual Project Deliverable
Length:450-word minimum Points Possible:200
Due...

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Assignment Type:Individual Project Deliverable 
Length:450-word minimum Points Possible:200 
 Due Date:5/26/2013 11:59:59 PM CT  
APA formatted referencesDue May 11th 2:00 a.m.Library Research Assignment 
Mr. and Mrs. Ybarra, a retired couple in their late 70s, come in to 
meet with you. They are very friendly and living a comfortable retirement due, 
in large part, to the overall size of their estate (nearly $4 million dollars 
spread over multiple accounts) and their conservative asset allocation.
As you bring up the issue of estate planning, they thank you for your 
concern, but explain that it is already taken care of. They go on to explain 
that their attorney has prepared wills for both of them and all of their 
accounts are titled Jointly with Rights of Survivorship.
There are surprised, and a little confused, when you mention that their heirs 
might end up receiving only a fraction of those assets after the two of them 
pass away.
Include the following in your explanation to Mr. and Mrs. Ybarra:

The transfer-tax system
What is considered part of the estate
How much is excluded from taxation based on current legislation
Gross estate versus adjusted gross estate

David · Accepted Answer

The Estate Tax  
The estate tax is one of the important taxation systems which is applicable and the transfer 
occurred at the time of death. The first and the most important step in its calculation is to 
calculate the gross taxable estate and it owned worldwide assets owned by the owner. Hence, 
your gross estate will include all such as life insurance policies which you thought that it will 
be transferred after three years of death. It also includes all the property owned by both.  The 
various deductions applied here are such as Martial deduction and the charitable deduction if 
you have mentioned any in your wills. Hence, after adjustments and all the deductions the 
reminder is applicable to the estate tax. It is similar and is calculated in the same way i.e. the 
way the gift tax is calculated and it can go up to 45% for any portion of the taxable estate in 
excess of $2000000.

Assignment Type: Individual Project Deliverable Length: 450-word minimum Points Possible: 200 Due Date: 5/26/2013 11:59:59 PM CT APA formatted referencesDue May 11th 2:00 a.m. Library Research...

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