Video: Gift Tax and Estates - Practice Questions

In this lesson, Nick Palazzolo, CPA, breaks down the intricacies of gift tax and estates with a focus on practical applications through practice questions. He delves into the non-taxable nature of spousal transfers, the implications of gift splitting between a husband and wife, and the intricacies involved with the annual exclusion limit. By dissecting a problem about monetary gifts given to relatives, Nick provides insights on how the gifts should be considered for tax purposes and when they become taxable. Further, he explains common misconceptions surrounding insurance policy beneficiary changes, political contributions, trust fund transfers, and tuition payments, and how they relate to gift tax considerations. Packed with tips and tricks, this lesson is all about mastering the understanding of gift tax rules and sidestepping potential missteps in tax planning.