Michael makes a $$250,000\mathrm{.}00$ gift of cash to his daughter on January $3,2022.$ He has not made any other gifts prior to this one. $($This question uses the Gift Tax Calculation form used on the examples in the text. Wording may vary slightly due to the edition you're using, but follow line by line for accuracy.$)$ IF NO GIFT TAX RETURN IS NEEDED, THEN ENTER NA ON EACH LINE OF THE TAX CALCULATIONS.

IS A GIFT TAX RETURN NEEDED?

$1.$ Total Current Year Gifts

$2.$ Less Annual Exclusion

$3.$ Total Current Year Taxable Gifts

$4.$ Plus Taxable Gifts from Prior Years

$5.$ Total Taxable Gifts

$6.$ Tax on Total Taxable Gifts

$7.$ Tax on Prior Gifts

$8.$ Balance

$9.$ Applicable Credit

$10.$ Applicable Credit Against Tax for all Prior Periods

$11.$ Balance

$12.$ Applicable Credit

$13.$ Total Gift Tax