(b) Mabel has two objectives when making the gifts to Bruce and Padma:(1) To pay no tax on any gift in her lifetime; and(2) To reduce the eventual liability to inheritance tax on her death.Advise Mabel which item to gift to Bruce and to Padma in order to

题目

(b) Mabel has two objectives when making the gifts to Bruce and Padma:

(1) To pay no tax on any gift in her lifetime; and

(2) To reduce the eventual liability to inheritance tax on her death.

Advise Mabel which item to gift to Bruce and to Padma in order to satisfy her objectives. Give reasons for

your advice.

Your advice should include a computation of the inheritance tax saved as a result of the two gifts, on the

assumption that Mabel dies on 30 June 2011. (10 marks)

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(b) Mabel has two objectives when making the gifts to Bruce and Padma:(1) To pay no tax on

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