If the Hansens want to reduce their expected estate tax liability prior to the death of either of the spouses, they could initiate a Marital Transfer.
<h3>What is a marital transfer?</h3>
A Marital transfer simply means that the Hansens should bequest their assets to each each other in case either of them die.
If this happens, the surviving spouse will not be charged any estate taxes because bequests to spouses are not subject to taxation.
To do this, the Hansens should put it into both of their wills that they plan to gift/ bequest their assets to their spouse if they die.
The big disadvantage of using a marital transfer however, is that the estate will still be subject to taxes when the surviving spouse dies. All the estate taxes that had been avoided would then be incurred by the estate but only after the death of both spouses.
In conclusion, they should use a marital transfer.
Find out more on estate taxes at brainly.com/question/6362495
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