Practice question
The parties stipulate that a person has made only a future promise and no completed gift or other taxable transfer has occurred. Can the promise alone be treated as the stipulated completed gift merely because an intended recipient is named?
- Yes; naming any hoped-for recipient necessarily completes every transfer.
- Yes; every intention automatically transfers legal ownership.
- No; because completed gifts can never be taxed.
- No; the actual transfer event must be established.
- Yes; the donee's preference replaces every transfer requirement.
Legal references
- NIRC Sections84-85,98 and104, read with TRAIN amendments: https://lawphil.net/statutes/repacts/ra1997/ra_8424_1997.html
- RA10963, TRAIN, estate and donor tax amendments including Sections99-100: https://lawphil.net/statutes/repacts/ra2017/ra_10963_2017.html
Answer this question in flashcards to review your response and continue practicing.