Reference no: EM133295990
1. What are the gift tax consequences in the following circumstances?
a. Alice pays the law school tuition for her 24-year-old child, Cara. Alice also sends Cara $1,500 per month for living expenses. She also pays for a laptop computer, books, and school supplies.
b. Same as 3.a., only Cara is Alice's niece, not her child.
c. Alice pays the medical bills of:
1. Cara, her 24-year-old child;
2. her niece who is 24;
3. her 63-year-old mother;
4. her best friend.
d. Alice pays the rent, utilities, and food bills of the following individuals who do not live with her:
1. her 24-year-old child;
2. her mother;
3. her best friend.