Unit 16

S corporations can have _ number of shareholders

100

when are estate taxes due

9 months after death

what busienss structure is most apporoaiate for retianing money in the business

C corporation

if the trust or estate has income it must be reported on

IRS form 1041

whenever the test uses the term joint tenants it means

JTWROS

inherited securities recieve

a stepped up cost basis

the type of trust created by a will that becomes operative at death is

a testementory trust

several investors open an account in joint tenancy for suitability purposes financial information is required on

all individuals/investors

when does a customer have to receive the OCC options disclosure document

at or prior to the time the account is approved for options trading

what vehicles make use of unified estate tax credit

bypass trust generation skipping trust

a trust account figuring it distribute net income for the year would exclude

captial gains reinvested in the corpus of the trust

a feature of what business entity is limited liability but no flow through of earnings or loss?

corporation

a gift of securities carries the

donors cost basis

a living will is used to

express the authors end of life wishes

trust taxation rates are

highly compressed

when advisory clientsdo wish to structure their portfolios to support ocmpanies that engage in social or environmental policies that they agree with it is known as

impact investing

trusts do not eliminate

income taxes

the only types of accounts that may have the transfer on death designation are

individual. JTWROS and TBE

owners of LLLs are called

members

the one type of account that must be approved by a specially qualified supervisor

options account

what entities would issue a schedule K-1

owners of partnerships, LLCs with more than 1 member and S corporations

one of the ways in which a simple trust differs from a comple trust is that

simple trusts must distirbute net income each year

when stock is given as a gift the donee

takes over the cost basis and holding period of the donor

one major difference between the customers indentifaction program (CTI) and the new accoutn opening rules of the regulatory bodies is that

the CI{ requires date of birth while regualtors only require proof of legal age

the federal legilsation that requires broker delaers to verify the indentity of any person opening an account is

the USA patriot act of 2001

tenants in the entirety (TBE) is unique in that it requires

the consent of parties prior to any actvitiy taking place in the account

property included in a deceased gross estate is generally valued for estate tax purposes at

the fair market value on the date of the deceased death

the pershon who establishes the trust is known as

the settlor/grantor

an LLC can have __ amount of owners

unlimited number of owners/members