James A. and Ella R. Polk, ages 70 and 65, are retired physicians who live at 13319

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James A. and Ella R. Polk, ages 70 and 65, are retired physicians who live at 13319 Taylorcrest Street, Houston, Texas 77079. Their three adult children (Benjamin Polk, Michael Polk, and Olivia Turner) are mature and responsible persons. The Polks have heard that some in Congress have proposed lowering the Federal gift tax exclusion from $5.34 million to $3 million. Although this change may not occur, the Polks feel they should take advantage of the more generous exclusion available under existing law. Thus, in 2015, the Polks make transfers of many of their high value investments. These and other gifts made during 2015 are summarized below.

Asset Transfer Condominium located in Conroe (TX) acquired in 1999, cost $1.2 million, to Benjamin, Michael,

Prepare 2015 gift tax returns (Form 709) for both of the Polks. A § 2513 election to split
gifts is made. The Polks have made no taxable gifts in prior years. Relevant Social Security
numbers are 123-45-6789 (James) and 123-45-6788 (Ella).

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South Western Federal Taxation 2017 Comprehensive

ISBN: 9781305874169

40th Edition

Authors: William H. Hoffman, David M. Maloney, William A. Raabe, James C. Young

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