ACCT 614 Week 1 Case Study 1 Example

Reviewed by Thomas Kerrigan, MBA, CPA · Liberty University · Updated

This ACCT 614 Week 1 sample case study sorts five gifts a composite married couple made in 2026 into the ones the gift tax ignores and the ones it counts. Tuition paid straight to a university and a hospital bill paid straight to the hospital fall outside the tax entirely, the annual exclusion of $19,000 per recipient covers smaller checks, and gift splitting doubles that figure but obliges both spouses to file Form 709. A $60,000 check to a granddaughter goes over the split exclusion and also counts as a direct skip for generation-skipping purposes. In one page the paper reaches a filing answer and a short word on stewardship. Liberty University ACCT 614 opens Module/Week 1 with this 75-point MS in Accounting case, read beside the first chapter of Hoffman et al.

CourseACCT 614 Estate, Trust, and Gift Taxation (ACCT614)
Module/Week1
AssignmentCase Study 1
Paper typeCase study
Lengthabout 354 words, 1 double-spaced pages plus title page and references. Course guide: one page of analysis, plus an APA title page carrying the running head and a reference list showing two or more CCH Intelliconnect sources beyond the textbook and the Bible
FormatAPA 7 student paper
Points75
SchoolLiberty University Online
ProgramMS in Accounting
Where it sitsModule/Week 1 in Liberty's published ACCT 614 course guide; current sections can differ
UpdatedOctober 2026

Free sample paper for ACCT 614 Week 1

1

Tuition, a Hospital Bill and a Check: Which of the Whitfields' 2026 Gifts to Their Family Are Taxable?

 

[Student Name]

School of Business, Liberty University

ACCT 614: Estate, Trust, and Gift Taxation

Case Study 1

[Instructor Name]

[Date]

 

The family and amounts are a composite written for this sample; the Code sections, revenue procedure and Bible passage cited are real.

Why this part earns its pointsThe facts are compressed into one sentence so the page can go to analysis.
2

Tuition, a Hospital Bill and a Check: Which of the Whitfields' 2026 Gifts to Their Family Are Taxable?

The Transfers

In 2026, Robert and Ellen Whitfield paid $48,000 of their granddaughter Claire's tuition directly to her university, paid $12,000 of her hospital bill directly to the hospital, gave Claire a $60,000 check toward a home, gave their son Daniel $25,000, and paid $9,000 for Claire's dormitory room by reimbursing her.

Why this part earns its pointsEach transfer is matched to the rule that controls it, with its source.
3

What the Gift Tax Reaches

The tuition and hospital payments are not gifts for tax purposes at all, because Section 2503(e) excludes tuition paid to a qualifying school and medical care paid to the provider, with no dollar cap (I.R.C. § 2503, 2025). The dormitory money is different: housing is not tuition, and it went to Claire rather than to the school, so it is an ordinary present-interest gift. For 2026 the annual exclusion is $19,000 per recipient (Rev. Proc. 2025-32, 2025). If the Whitfields elect to split gifts, each spouse is treated as giving half of everything, which doubles the shelter to $38,000 per person (I.R.C. § 2513, 2025). Daniel's $25,000 then falls entirely within it. Claire received $69,000 in countable gifts, the check and the housing money, so $31,000 is a taxable gift, $15,500 from each spouse. The tuition was the largest transfer, yet it is the one the tax never sees.

Filing and Generation-Skipping

No tax is due, because each spouse's $15,500 taxable gift is absorbed by the $15,000,000 basic exclusion. A return is still required: gift splitting is elected on Form 709, and both spouses must file by April 15, 2027. The tuition and hospital payments stay off both returns, since transfers excluded under Section 2503(e) are not reported at all, while Daniel's gift and Claire's check and housing money are listed with the consent of each spouse. Because Claire is a grandchild, the gifts are also direct skips; the part covered by the annual exclusion has a zero inclusion ratio, and the excess draws a small amount from each spouse's generation-skipping exemption (I.R.C. § 2642, 2025).

Why this part earns its pointsThe ethical note is brief because the page limit is strict.
4

Stewardship

The plan reflects the Proverbs teaching that a good person leaves something for grandchildren as well as children (English Standard Version Bible, 2001/2016, Proverbs 13:22). Paying the school and the hospital directly honors that aim while keeping the family's records clean.

5

References

English Standard Version Bible. (2016). Crossway. (Original work published 2001)

I.R.C. § 2503 (2025).

I.R.C. § 2513 (2025).

I.R.C. § 2642 (2025).

Rev. Proc. 2025-32, 2025-45 I.R.B. 695 (2025).

What the ACCT 614 Week 1 instructions ask

In the opening module/week of ACCT 614, students read Hoffman et al.'s first chapter, watch a presentation, visit an assigned website, sign off on the syllabus checklist and introduce themselves, yet Case Study 1 carries most of the week's points. The instructions supply a tax case and ask for a one-page answer in current APA format, so the page must hold the analysis while a separate title page with a running head and a reference list sit around it. The reference list has to show two or more sources pulled from CCH Intelliconnect, which in practice means Code sections, regulations or IRS guidance, and the textbook and Bible sit on top of that minimum. A gift case at this point tests whether a student can tell an excluded transfer from a taxable one before any return is prepared.

How this ACCT 614 Week 1 example is built

Because the space is one page, the sample runs as a tight memo in three moves. It lists the five transfers in a single sentence with their amounts, then sorts them by the rule that governs each: the unlimited exclusion for tuition and medical care paid directly, the $19,000 annual exclusion, and gift splitting between spouses. A short paragraph handles the one transfer that goes over the line and notes its generation-skipping status, since a grandchild is two generations below the donors. The close states plainly whether a return is due, by when and what it costs in tax now, and adds two sentences on giving as stewardship. Every rule carries a cite to the Code or the 2026 revenue procedure, and no paragraph repeats the facts.

ACCT 614 Week 1 grading rubric: where the points go

Points on an ACCT 614 case study follow accuracy first: the right rule applied to each transfer, current-year figures, and a conclusion the facts support. Instructors then look at whether the authority is primary and comes from CCH Intelliconnect, whether the page stays at one page without cramming, and whether the APA pieces around it, running head, title page and reference entries, are in order. The course's sixth learning outcome asks students to weigh the ethics of gift, trust and estate scenarios from a biblical perspective, so a paper that ignores that side leaves marks on the table. Papers that confuse the annual exclusion with the lifetime basic exclusion, or that say no return is due when spouses split gifts, lose the most.

ACCT 614 Week 1 help: mistakes that cost points

Work each transfer separately before writing a word, and note who received it, how it was paid and whether the donor could have kept control. Payments made to a school or a medical provider are excluded only when they go straight to that institution; reimbursing a student for tuition is an ordinary gift. Use 2026 numbers, $19,000 per recipient and a $15,000,000 basic exclusion, and say where they come from. Remember that splitting gifts is an election made on Form 709, so a couple who split must file even when no tax results. Watch for grandchildren, since generation-skipping rules sit on top of the gift tax. Write the conclusion first, then trim the analysis to fit the page.

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ACCT 614 Week 1 questions, answered

What is ACCT 614 Case Study 1?

A 75-point one-page tax case due in Module/Week 1, answered in APA style with a running head on its title page and at least two CCH Intelliconnect references on top of the textbook and Bible.

Where can I find a free ACCT 614 Week 1 sample paper?

A full ACCT 614 Week 1 case study sample is on this page, deciding which of a couple's tuition, medical and cash gifts in 2026 are taxable and whether Form 709 is due.

What is the annual gift tax exclusion for 2026?

It is $19,000 per recipient for 2026 under Rev. Proc. 2025-32, the same as in 2025, and a married couple who elect gift splitting can give $38,000 to each person.

Is tuition paid for a grandchild a taxable gift?

Not when it is paid directly to the school. Section 2503(e) excludes tuition paid to a qualifying educational organization without limit, but room, board and books do not qualify.

What else is due in ACCT 614 Module/Week 1?

Beside the case study, students sign the syllabus checklist, post a class introduction and work through Hoffman et al.'s first chapter, a presentation and an assigned website.

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