TOOLS & TECHNIQUES OF LIFE INSURANCE PLANNING
The cash value of the insurance was $120,000 at the time of Foster’s death. Foster had reported a total of $20,000 of insurance costs for this contract on his income tax returns. The taxable amount of this benefit to the beneficiary is. a. zero – life insurance proceeds are never taxed. b. $200,000. c. $120,000. d. $100,000. e. $80,000 ................
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