In 2014, Homer and his wife, Wilma (residents of a non - community property state) make the gifts listed below. Homer's previous taxable gifts consist of $100,000 made in 1975 and $1.4 million made in 1996. Wilma has made no previous taxable gifts.

Wilma's current year gifts were to Art $400,000 to Bart 6,000 Homer's current year gifts were to Linda $600,000 to a charitable organization 100,000 to Norma (future interest) 200,000

a. What are the gift tax liabilities of Homer and Wilma for 2014 if they elect gift splitting and everyone except Norma receives a present interest?

b. How would the gift tax liabilities for each spouse in Part a change if they do not elect gift splitting?