Looking for a Form 709 Templates? Download it for free!

Lines 12–18. Split Gifts

consent may generally be signed at any

unused exclusion (DSUE) amount. The

time after the end of the calendar year.

executor of his or her spouse's estate

A married couple may not file a

However, there are two exceptions.

must have elected on Form 706 to allow

joint gift tax return. However, if

use of the unused exclusion amount. See

1. The consent may not be signed

after reading the instructions

instructions for Form 706, Part

after April 15 following the end of the year

CAUTION

below, you and your spouse agree to split

6—Portability of Deceased Spousal

in which the gift was made. But, if neither

your gifts, you should file both of your

Unused Exclusion. If the executor of the

you nor your spouse has filed a gift tax

individual gift tax returns together (that is,

estate made this election, attach the first

return for the year on or before that date,

in the same envelope) to help the IRS

four pages of Form 706 filed by the estate.

the consent must be made on the first gift

process the returns and to avoid

Include any attachments related to DSUE

tax return for the year filed by either of

correspondence from the IRS.

that were filed with Form 706 and

you.

calculations of any adjustments to the

If you and your spouse both consent, all

2. The consent may not be signed

DSUE amount like audit reports or

gifts (including gifts of property held with

after a notice of deficiency for the gift tax

previously filed Forms 709. See also

your spouse as joint tenants or tenants by

for the year has been sent to either you or

section 2010(c)(4) and related regulations.

the entirety) either of you make to third

your spouse.

parties during the calendar year will be

Using the checkboxes provided,

The executor for a deceased spouse or

considered as made one-half by each of

indicate whether the donor is applying or

the guardian for a legally incompetent

you if all of the following apply.

has applied a DSUE amount from a

spouse may sign the consent.

You and your spouse were married to

predeceased spouse to gifts reported on

one another at the time of the gift.

this or a previous Form 709. If so,

If divorced or widowed after the gift, you

When the Consenting Spouse Also

complete Schedule C before going to Part

did not remarry during the rest of the

Must File a Gift Tax Return

2—Tax Computation.

calendar year.

In general, if you and your spouse elect

Neither of you was a nonresident not a

Schedule A. Computation

gift splitting, then both spouses must file

citizen of the United States at the time of

his or her own individual gift tax return.

the gift.

of Taxable Gifts

You did not give your spouse a general

Do not enter on Schedule A any gift or part

However, only one spouse must file a

power of appointment over the property

of a gift that qualifies for the political

return if the requirements of either of the

interest transferred.

organization, educational, or medical

exceptions below are met. In these

If you transferred property partly to your

exclusions. In the instructions below, gifts

exceptions, gifts means transfers (or parts

spouse and partly to third parties, you can

means transfers (or parts of transfers) that

of transfers) that do not qualify for the

only split the gifts if the interest transferred

do not qualify for the political organization,

political organization, educational, or

to the third parties is ascertainable at the

educational, or medical exclusions.

medical exclusions.

time of the gift.

Line A. Valuation Discounts

Exception 1. During the calendar year:

The consent is effective for the entire

Only one spouse made any gifts,

If the value of any gift you report in either

calendar year; therefore, all gifts made by

The total value of these gifts to each

Part 1, Part 2, or Part 3 of Schedule A

both you and your spouse to third parties

third-party donee does not exceed

includes a discount for lack of

during the calendar year (while you were

$28,000, and

marketability, a minority interest, a

married) must be split.

All of the gifts were of present interests.

fractional interest in real estate, blockage,

market absorption, or for any other

If the consent is effective, the liability

Exception 2. During the calendar year:

reason, answer “Yes” to the question at

for the entire gift tax of each spouse is joint

Only one spouse (the donor spouse)

the top of Schedule A. Also attach an

and several.

made gifts of more than $14,000 but not

explanation giving the basis for the

more than $28,000 to any third-party

If you meet these requirements and

claimed discounts and showing the

donee,

want your gifts to be considered made

amount of the discounts taken.

The only gifts made by the other

one-half by you and one-half by your

spouse (the consenting spouse) were gifts

Line B. Qualified Tuition

spouse, check the “Yes” box on line 12;

of not more than $14,000 to third-party

complete lines 13 through 17; and have

Programs (529 Plans or

donees other than those to whom the

your spouse sign the consent on line 18.

Programs)

donor spouse made gifts, and

If you are not married or do not wish to

All of the gifts by both spouses were of

If in 2017, you contributed more than

split gifts, skip to line 19.

present interests.

$14,000 to a Qualified Tuition Plan (QTP)

on behalf of any one person, you may

If either of the above exceptions is met,

Line 15. If you were married to one

elect to treat up to $70,000 of the

only the donor spouse must file a return

another for all of 2017, check the “Yes”

contribution for that person as if you had

and the consenting spouse signifies

box and skip to line 17. If you were

made it ratably over a 5-year period. The

consent on that return.

married for only part of the year, check the

election allows you to apply the annual

“No” box and go to line 16. If you were

Specific instructions for Part 2—Tax

exclusion to a portion of the contribution in

divorced or widowed after you made the

Computation are discussed later. Because

each of the 5 years, beginning in 2017.

gift, you cannot elect to split gifts if you

you must complete Schedules A, B, C,

You can make this election for as many

remarried before the end of 2017.

and D to fill out Part 2, you will find

separate people as you made QTP

instructions for these schedules later.

Line 16. Check the box that explains the

contributions.

change in your marital status during the

Line 19. Application of DSUE

You can only apply the election to a

year and give the date you were married,

Amount

maximum of $70,000. You must report all

divorced, or widowed.

If the donor is a citizen or resident of the

of your 2017 QTP contributions for any

Consent of Spouse

United States and his or her spouse died

single person that exceed $70,000 (in

Your spouse must sign the consent for

after December 31, 2010, the donor may

addition to any other gifts you made to that

your gift-splitting election to be valid. The

be eligible to use the deceased spouse's

person).

-6-

Instructions For Form 709 - United States Gift (And Generation-Skipping Transfer) Tax Return - 2017 Page 6

Related Articles

Related forms

Related Categories