Fillable Form La 709 - Gift Tax Return Of Donor (Page 4 of 7) in pdf

R-3302 (8/09)

FORM LA 709

Instructions for Completing

the Louisiana Gift Tax Return

General Information

PLeASe noTe: The provisions of Act 371 of the 2007 Legislative Session repealed the Louisiana Gift Tax effective

July 1, 2008. A Gift Tax return for gift transfers made prior to July 1, 2008, is required.

WHo MUST FILe A ReTURn – Every individual, association, partnership, or corporation making a gift to a single donee must

file a Gift Tax Return of Donor. A separate return is required for each calendar year in which property is transferred by gift.

eXCLUSIonS AnD eXeMPTIonS

effective for Years

Gift Tax Annual exclusion

1998 - 2001

$10,000

2002 - 2005

$11,000

2006 - 2008

$12,000

SPeCIFIC eXeMPTIon – A taxpayer may receive a specific lifetime exemption, not to exceed $30,000. The exemption can

be used to reduce the amount of any gifts made by a donor. A donor may attribute the entire amount or any portion of the

exemption, in any one calendar year or spread it over many calendar years to reduce a gift. If the gift exceeds the annual

exclusion or the gift is specifically exempt, a return must be filed even though no tax is due.

WHen To FILe – A calendar year return is due on or before the 15th day of April following the calendar year in which the

gift was made.

WHeRe To FILe AnD PAY TAX – The return must be filed with the Louisiana Department of Revenue (LDR), P.O. Box

201, Baton Rouge, LA 70821-0201. Payment of the tax due must accompany the return. DO NOT SEND CASH.

BASIS oF THe TAX – The true and full value of the property at the date of transfer shall be the value of the gift for the

purpose of computing the tax due.

TAXABLe YeAR – The current taxable year is the calendar year for which the return is being filed.

PRIoR YeAR TAXABLe GIFTS – Refers to taxable gifts made in calendar years prior to the current taxable year. The gifts

must have been previously reported on R-3302, and tax must have been paid.

TRAnSFeRS BY ReSIDenTS – The tax is imposed upon the transfer of all property located in Louisiana. For this purpose,

intangible property owned by a Louisiana resident is deemed to be located in Louisiana.

TRAnSFeRS BY nonReSIDenTS – The tax is imposed upon all tangible movable and immovable property located in Louisiana.

eXeMPT TRAnSFeRS – R.S. 47:1204 provided that the following transfers shall be exempt from tax:

(1) Gifts to charitable, religious, or educational institutions located within the State of Louisiana, provided the net earnings

of the organization benefit no private shareholder or individual.

(2) Gifts made to the United States, the State of Louisiana, or any political subdivision of Louisiana (parish, municipality, or

town), or civic organizations, provided the donor receives no direct or indirect benefit as a result of such donations.

(3) Gifts made by a person to his spouse beginning with calendar year 1992.

GIFT SPLITTInG oF SePARATe PRoPeRTY GIVen BY HUSBAnD oR WIFe To AnoTHeR PARTY – R.S. 47:1205(C)

considers gifts of separate property made by one spouse to another party, other than his or her spouse, as though one-half

is made by each spouse, provided that:

(1) each spouse is a resident of Louisiana at the time of the gift; and

(2) both spouses signify on their Louisiana gift tax return their consent to split the gift.

Form La 709 - Gift Tax Return Of Donor Page 4

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