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Clearly identify the trust, including the

Schedule B, for gifts made in the third and

You are required to provide the

trust's EIN, if known;

fourth quarters of 1976.)

information requested on this form.

Section 6109 requires that you provide

Line 13. Gift tax conventions are in effect

The item number(s) from column A,

your social security number; this is so we

Schedule A, Part 1, of the gifts to that

with Australia, Austria, Denmark, France,

know who you are, and can process your

trust (if applicable);

Germany, Japan, Sweden, and the United

Form 709.

Kingdom. If you are claiming a credit for

The values shown in column E,

payment of foreign gift tax, figure the

Generally, tax returns and return

Schedule A, Part 1, for the gifts (adjusted

credit on an attached sheet and attach

information are confidential, as stated in

to account for split gifts, if any, reported

evidence that the foreign taxes were paid.

section 6103. However, section 6103

on Schedule A, Part 3, line 2) (or, if the

See the applicable convention for details

allows or requires the Internal Revenue

allocation is late, the value of the trust

of computing the credit.

Service to disclose or give such

assets at the time of the allocation);

information shown on your Form 709 to

Line 19. Make your check or money

The amount of your GST exemption

the Department of Justice to enforce the

order payable to “United States

allocated to each gift (or a statement that

tax laws, both civil and criminal, and to

Treasury” and write the donor's social

you are allocating exemption by means

cities, states, the District of Columbia,

security number on it. You may not use

of a formula such as “an amount

U.S. commonwealths or possessions, and

an overpayment on Form 1040 to offset

necessary to produce an inclusion ratio

certain foreign governments for use in

the gift and GST taxes owed on Form

of zero”); and

administering their tax laws.

709.

The inclusion ratio of the trust after the

We may disclose the information on

Signature. As a donor, you must sign the

allocation.

your Form 709 to the Department of the

return. If you pay another person, firm, or

Total the exemption allocations and

Treasury and contractors for tax

corporation to prepare your return, that

enter this total on line 5.

administration purposes; and to other

person must also sign the return as

Note: Where the property involved in

persons as necessary to obtain

preparer unless he or she is your regular

such a transfer is subject to an estate tax

information which we cannot get in any

full-time employee.

inclusion period because it would be

other way for purposes of determining the

includible in the donor's estate if the donor

amount of or to collect the tax you owe.

died immediately after the transfer (other

We may disclose the information on your

Disclosure, Privacy Act, and

than by reason of the donor having died

Paperwork Reduction Act Notice. We

Form 709 to the Comptroller General to

within 3 years of making the gift), you

ask for the information on this form to

review the Internal Revenue Service. We

cannot allocate the GST exemption at the

carry out the Internal Revenue laws of the

may also disclose the information on your

time of the transfer but must wait until the

United States. We need the information

Form 709 to Committees of Congress;

end of the estate tax inclusion period. For

to figure and collect the right amount of

Federal, state and local child support

details, see Transfers Subject to an

tax. Form 709 is used to report (1)

agencies; and to other Federal agencies

“Estate Tax Inclusion Period” on page

transfers subject to the Federal gift and

for the purpose of determining entitlement

2, and section 2642(f).

certain generation-skipping transfer (GST)

for benefits or the eligibility for, and the

taxes and to figure the tax, if any, due on

repayment of, loans.

Part 3—Tax Computation

those transfers, and (2) allocation of the

If you are required to but do not file a

You must enter in Part 3 every gift you

lifetime GST exemption to property

Form 709, or do not provide the

listed in Part 1 of Schedule C.

transferred during the transferor's lifetime.

information requested on the form, or

Column C. You are not required to

Our legal right to ask for the information

provide fraudulent information, you may

allocate your available exemption. You

requested on this form is sections 6001,

be charged penalties and be subject to

may allocate some, all, or none of your

6011, and 6019, and their regulations.

criminal prosecution.

available exemption, as you wish, among

the gifts listed in Part 3 of Schedule C.

Table for Computing Tax

However, the total exemption claimed in

column C may not exceed the amount you

entered on line 3 of Part 2 of Schedule

Column A

Column B

Column C

Column D

You may enter an amount in column C

that is greater than the amount you

Rate of tax

Taxable

Tax on

on excess

entered in column B.

amount

amount in

over amount

Column D. Carry your computation to

over—

not over—

Column A

in Column A

three decimal places (e.g., “1.000”).

- - - - -

$10,000

- - - - -

18%

$10,000

20,000

$1,800

20%

20,000

40,000

3,800

22%

40,000

60,000

8,200

24%

Part 2—Tax Computation

60,000

80,000

13,000

26%

(Page 1 of Form)

80,000

100,000

18,200

28%

100,000

150,000

23,800

30%

Line 7. If you are a citizen or resident of

150,000

250,000

38,800

32%

the United States, you must take any

250,000

500,000

70,800

34%

available unified credit against gift tax.

500,000

750,000

155,800

37%

Nonresident aliens may not claim the

750,000

1,000,000

248,300

39%

unified credit. If you are a nonresident

1,000,000

1,250,000

345,800

41%

alien, delete the $220,550 entry and write

1,250,000

1,500,000

448,300

43%

1,500,000

2,000,000

555,800

45%

in zero on line 11.

2,000,000

2,500,000

780,800

49%

Line 10. Enter 20% of the amount

allowed as a specific exemption for gifts

2,500,000

3,000,000

1,025,800

53%

3,000,000

10,000,000

1,290,800

55%

made after September 8, 1976, and

10,000,000

17,184,000

5,140,800

60%

before January 1, 1977. (These amounts

17,184,000

- - - - -

9,451,200

55%

will be among those listed in column D of

Page 11

Instructions For Form 709 - United States Gift (And Generation-Skipping Transfer) Tax Return - 2000 Page 11

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