Taxation of community property

CFA Level III
#1

The most likely scenario under a community property rights regime when one spouse dies is that the deceased spouse’s half of the estate earned during the marriage is transferred to the surviving spouse on a tax-free basis.

Do you agree with this sentence from Kaplan question?
I couldn’t find anywhere in the curriculum that "most likely" is tax free.

#2

The real question here is if the “most likely” part refers to on tax-free basis part.

#3

It does, the question was asking if the transfer when one of the partners die is taxed or not.