Sunday, May 5, 2024
Deferred Gifts

3.2.3 Basic Quiz -- Bequests of IRAs and Other IRD Assets
If a donor transfers an IRA to family at his or her death, the family receives a step up in basis of the IRA.
     True      False
An IRA is considered an income in respect of the decedent (IRD) asset.
     True      False
Assets such as pension plans, savings bonds and commercial annuities are all considered IRD assets.
     True      False
If a donor wishes to make a bequest to charity from his or her estate, using an IRD asset is almost always the best way to make a bequest.
     True      False
An IRD asset is typically transferred through the beneficiary designation.
     True      False
If an IRD asset is paid to the estate of the donor, the estate may still owe income taxes on that IRD asset even if it is eventually transferred to charity.
     True      False
IRD assets are usually taxable as ordinary income when received by a non-charitable beneficiary.
     True      False
An IRD asset may be unrelated business taxable income to the charity.
     True      False
If a donor lists a charity as the beneficiary of his or her IRA, it will cause the donor to have to take higher required minimum distributions from that IRA.
     True      False
The bequest of an IRA to a charity may qualify for an estate tax charitable deduction.
     True      False



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