Overview
Download pdf forms and update.
Use 2024 forms.
Facts:
Brad and Angelina are a married couple who have three children, Fred, Bridget, and Lisa. Two of the three children, Fred and Bridget, are from Brad’s previous marriages. On Christmas this year, Brad gave each of the three children a cash gift of $10,000, and Angelina gave Lisa an additional cash gift of $40,000. Brad also gave stock worth $60,000 (adjusted basis of $10,000) to the Actors Guild (an “A” charity).
Brad and Angelina have chosen to split gifts. Calculate Brad’s gift tax. Assume that Angelina has no previous taxable gifts, but Brad reported previous taxable gifts of $2 million in 2009 when he used $345,800 of applicable credit and paid $435,000 of gift taxes.
Fill out to the best of your abilities (given these very limited facts) a 709. Include very few spots on page 1; and PARTS (not pages) 1 and 4.
Please fill out 709 Page 1 and Part 1 and Part 4 (carry amounts to Page 1). Don't worry about names unless you want to add humor or just want to:
Total Part 1: 65,000 (Part 4, L1 is also 65,000)
Exclusion is per donee. Total annual exclusions should equal 48,000.
Remember gift splitting so for charitable (30K each) then I am using 19K (2025 amount) for annual exclusion
and the remaining amount ($11K) I post to charitable deductions.