No income-tax deduction for premium payments is allowed if the taxpayer is a beneficiary under the policy.

A life insurance policy that has been transferred into an irrevocable life insurance trust can be includable in the grantor’s gross estate if:

Which of the following gifts of less than the client’s entire interest in property would NOT generate an income tax deduction?

Life Settlements are generally entered into to provide for the costs of health care and medical expenses of the insured.

A “viatical settlement” is

An individual owns a life insurance policy with investment in the contract of $35,000 and a cash value of $60,000. He exchanges the policy for a new one that will have a cash value of $55,000 and will also receive $5,000 in cash in the exchange. How much gain will the individual recognize on this transaction?

A reasonable estimate for long-term growth in earnings might be 3% (inflation rate (5%) minus the average real growth rate of earnings (2%).

The price of stock as determined under a buy-sell agreement will automatically fix its value for estate tax purposes.

In a 1035 exchange gains are deferred, but losses may be taken at the time of the exchange.

Settlement options frequently include some combination of the following