Need help with Accounting Questions Final Chapter Semester
1. Estate and Gift Tax Link
Basically, the Estate tax and the Gift tax are a combined system, and are linked together. The question is why? Why does the tax law set up a “unified” system that combines gifts with the estate and has a combined tax that totals estate plus all lifetime taxable gifts?
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2. Kiddie Tax
What is the “kiddie tax” all about? What is its purpose? What “scheme” does it seek to prevent? Do you think it is really necessary? If so, why do you think it cuts off at 14? (something I personally have never figured out).