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24.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2.3275

Table of Combined Interest Rate Imposed

on the Total Accumulation Distribution

All years greater than 24 . . . . . . . . . . . . . . . . . .

2.3748

(Note: Interest charges began in 1977.)

Look up the applicable number of years of the foreign trust that you entered on

line 50. Read across to find the combined interest rate to enter on line 51. Use

this table only if you are a 2001 calendar year taxpayer and are using June 30,

2001 as the applicable date.

Line 53. Report this amount as additional tax (ADT) on

Combined

the appropriate line of your income tax return (e.g., for

Applicable number

interest rate

Form 1040 filers, include this amount as part of the total

of years of trust

(enter on line

for line 58 of your 2001 Form 1040) and enter “ADT” to

(from line 50)

51)

the left of the line 58 entry space.

1.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.0875

Part IV—U.S. Recipients of Gifts or

1.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.1354

Bequests Received During the

2.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.1799

Current Tax Year From Foreign

2.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.2234

3.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.2743

Persons

3.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.3273

Note: Penalties may be imposed for failure to report gifts

4.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.3858

that should be reported. See item 3 of Penalties on page

4.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.4468

5.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.5105

A gift to a U.S. person does not include any amount

paid for qualified tuition or medical payments made on

5.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.5770

behalf of the U.S. person.

6.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.6243

If a foreign trust makes a distribution to a U.S.

6.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.6716

beneficiary, the beneficiary must report the amount as a

7.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.7189

distribution in Part III, rather than as a gift in Part IV.

7.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.7662

Contributions of property by foreign persons to

8.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.8135

domestic or foreign trusts that have U.S. beneficiaries are

not reportable by those beneficiaries in Part IV unless

8.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.8609

they are treated as receiving the contribution in the year

9.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.9082

of the transfer (e.g., the beneficiary is an owner of that

9.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

0.9555

portion of the trust under section 678).

10.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.0028

A domestic trust that is not treated as owned by

10.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.0501

another person is required to report the receipt of a

contribution to the trust from a foreign person as a gift in

11.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.0974

Part IV.

11.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.1447

A domestic trust that is treated as owned by a foreign

12.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.1920

person is not required to report the receipt of a

12.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.2393

contribution to the trust from a foreign person. However,

13.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.2866

a U.S. person should report the receipt of a distribution

13.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.3340

from such a trust as a gift from a foreign person in Part

IV.

14.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.3813

Line 54. To calculate the threshold amount ($100,000),

14.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.4286

you must aggregate gifts from different foreign

15.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.4759

nonresident aliens and foreign estates if you know (or

15.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.5232

have reason to know) that those persons are related to

16.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.5705

each other (see definition of related person on page 3) or

one is acting as the nominee for the other. For example,

16.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.6178

if you receive a gift of $75,000 from nonresident alien

17.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.6651

individual A and a gift of $40,000 from nonresident alien

17.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.7124

individual B, and you know that A and B are related, you

18.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.7597

must answer “Yes” and complete columns (a) through (c)

for each gift.

18.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.8071

If you answered “Yes” to the question on line 54 and

19.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.8544

none of the gifts or bequests received exceeds $5,000,

19.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.9017

do not complete columns (a) through (c) of line 54.

20.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.9490

Instead, enter in column (b) of the first line: “No gifts or

20.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

1.9963

bequests exceed $5,000.”

21.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2.0436

Line 55. Answer “Yes” if you received aggregate

amounts in excess of $11,273 during the current tax year

21.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2.0909

that you treated as gifts from foreign corporations or

22.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2.1382

foreign partnerships (or any persons that you know (or

22.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2.1855

have reason to know) are related to such foreign

23.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2.2328

corporations or foreign partnerships).

23.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2.2802

For example, if you, a calendar-year taxpayer during

2001, received $5,000 from foreign corporation X that

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Instructions For Form 3520 - Annual Return To Report Transactions With Foreign Trusts And Receipt Of Certain Foreign Gifts - 2001 Page 9

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