In its first tax year, the Vasquez Estate generated $50,000 of taxable interest income and $30,000 of tax-exempt interest income. It paid fiduciary fees of $8,000. The estate is subject to a 40% marginal estate tax and a 37% marginal income tax rate. a. How much should the executor assign as a Form 706 deduction for the payment of the fees? b. Express this computation as a Microsoft Excel command.
In its first tax year, the Vasquez Estate generated $50,000 of taxable interest income and $30,000 of tax-exempt interest income. It paid fiduciary fees of $8,000. The estate is subject to a 40% marginal estate tax and a 37% marginal income tax rate. a. How much should the executor assign as a Form 706 deduction for the payment of the fees? b. Express this computation as a Microsoft Excel command.
Chapter13: Tax Credits And Payment Procedures
Section: Chapter Questions
Problem 28P
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In its first tax year, the Vasquez Estate generated $50,000 of taxable interest income and $30,000 of tax-exempt interest income. It paid fiduciary fees of $8,000. The estate is subject to a 40% marginal estate tax and a 37% marginal income tax rate.
a. How much should the executor assign as a Form 706 deduction for the payment of the fees?
b. Express this computation as a Microsoft Excel command.
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ISBN:
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Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT