If your brother lives for at least seven years after giving you the money, the gift will be exempt from inheritance tax. If he dies within seven years, the value of his gift to you would be added to his estate and any tax due would be paid out of his estate.
: Reasoning that seeks to establish the relationship between causes and effects Rules for using causal reasoning 1. It can be difficult to establish clear cause/effect relationships 2. This preview has intentionally blurred sections. Sign up to view the full version.
Whereas inductive reasoning draws general principles from specific instances, deductive reasoning draws specific conclusions from general principles or premises. A premise is a previous statement or proposition from which another is inferred or follows as a conclusion. Unlike inductive reasoning, which always involves uncertainty, the conclusions from deductive inference are certain provided the premises are true. Scientists use inductive reasoning to formulate hypothesis and theories, and deductive reasoning when applying them to specific situations.