EXHIBIT 25-2 The Exemption Equivalent Year of Transfer Gift Tax Estate Tax 1986 $500,000 $500,000 1987-1997 600,000 600,000 1998 625,000 625,000 1999 650,000 650,000 2000-2001 675,000 675,000 2002-2003 1,000,000 1,000,000 2004-2005 1,000,000 1,500,000 2006-2008 1,000,000 2,000,000 2009-2010* 1,000,000 3,500,000 2011 5,000,000 5,000,000 2012 5,120,000 5,120,000 2013 5,250,000 5,250,000 2014 5,340,000 5,340,000 2015 5,430,000 5,430,000 2016 5,450,000 5,450,000 2017 5,490,000 5,490,000 2018 11,180,000 11,180,000 2019 11,400,000 11,400,000 2020 11,580,000 11,580,000 2021 11,700,000 11,700,000 *The applicable credit and exemption are zero for taxpayers who opt out of the estate tax in 2010. EXHIBIT 25-1 Unified Transfer Tax Rates* Tax Base Equal to or Over Not Over Tentative Tax $ 0 $10,000 $0 18% 10,000 20,000 1,800 20 20,000 40,000 3,800 22 40,000 60,000 8,200 24 60,000 80,000 13,000 26 80,000 100,000 18,200 28 100,000 150,000 23,800 30 150,000 250,000 38,800 32 250,000 500,000 70,800 34 500,000 750,000 155,800 37 750,000 1,000,000 248,300 39 1,000,000 345,800 40 *The applicable credit and exemption are zero for estates that opted out of the estate tax in 2010. Plus of Amount Over $ 0 10,000 20,000 40,000 60,000 80,000 100,000 150,000 250,000 500,000 750,000 1,000,000 Required information [The following information applies to the questions displayed below.] Tom Hruise was an entertainment executive who had a fatal accident on a film set. Tom's will directed his executor to distribute his cash and stock to his wife, Kaffie, and the real estate to his church, The First Church of Methodology. The remainder of his assets were to be placed in trust for his three children. Tom's estate consisted of the following: Assets: Personal assets. Cash and stock $ 800,000 24,000,000 71,500,000 15,000,000 Intangible assets (film rights) Real estate $ 111,300,000 Liabilities: Mortgage $ 3,200,000 4,100,000 Other liabilities $ 7,300,000 a. Tom made a taxable gift of $8 million in 2011. Compute the estate tax for Tom's estate. (Refer to Exhibit 25-1 and Exhibit 25-2.) (Enter your answers in dollars, not millions of dollars.) a. Tom made a taxable gift of $8 million in 2011. Compute the estate tax for Tom's estate. (Refer to Exhibit 25-1 and Exhibit 25-2.) (Enter your answers in dollars, not millions of dollars.) Gross estate $ 111,300,000 Marital Deduction (24,000,000) Charitable Deduction (15,000,000) Debts (7,300,000) Taxable Estate $ 65,000,000 Adjusted taxable gifts 8,000,000 Cumulative taxable transfers $ 73,000,000 Tax on cumulative transfers $ 29,145,800 Current tax on adjusted taxable gifts 1,200,000 Tentative estate tax $ 27,945,800 Applicable credit Estate Tax Due Required information [The following information applies to the questions displayed below.] Tom Hruise was an entertainment executive who had a fatal accident on a film set. Tom's will directed his executor to distribute his cash and stock to his wife, Kaffie, and the real estate to his church, The First Church of Methodology. The remainder of his assets were to be placed in trust for his three children. Tom's estate consisted of the following: Assets: Personal assets Cash and stock $ 800,000 24,000,000 71,500,000 15,000,000 Intangible assets (film rights) Real estate $ 111,300,000 Liabilities: Mortgage $ 3,200,000 4,100,000 Other liabilities $ 7,300,000 b. Fill out lines 1 through 12 in part 2 of Form 706 for Tom's estate. (Use 2021 tax rules regardless of year on tax form. Input all values as positive numbers. Leave no cells blank - be certain to enter "0" wherever required.) From 706 (Rev. August 2020) Department of the Treasury Internal Revenue Service Part 1- Decedent and Executor Part 2-Tax Computation United States Estate (and Generation-Skipping Transfer) Tax Return OMB No. 1545- 0015 Estate of a citizen or resident of the United States (see instructions). To be filed for decedents dying after December 31, 2020. Go to www.irs.gov/Form706 for instructions and the latest information 1b Decedent's last name 1a Decedent's first name and middle initial (and maiden name, if any) 2 Decedent's social security no. 3a City, town, or post office; county; state or province; country; and ZIP or 3b Year domicile foreign postal code 4 Date of birth 5 Date of death established 6a Name of executor (see instructions) 6b Executor's address (number and street including apartment or suite no.; city, town, or post office; state or province; country; and ZIP or foreign postal code) and phone no 6c Executor's social security number (see instructions) Phone no 6d If there are multiple executors, check here and attach a list showing the names, addresses, telephone numbers, and SSNs of the additional executors. 7a Name and location of court where will was probated or estate administered 7b Case number and attach a 8 If decedent died testate, check here 9 If you extended the time to file this Form 706, check here certified copy of the will 11 If you are estimating the value of assets included in the gross estate on line 1 pursuant to the special rule of Reg. section 20.2010-2(a)(7)(ii), check here 1 2 3a 0 3b 3c 0 4 5 6 10 If Schedule R-1 is attached, check here 1 Total gross estate less exclusion (from Part 5-Recapitulation, item 13) 2 Tentative total allowable deductions (from Part 5-Recapitulation, item 24) 3a Tentative taxable estate (subtract line 2 from line 1) b State death tax deduction c Taxable estate (subtract line 3b from line 3a) 4 Adjusted taxable gifts (see instructions) 5 Add lines 3c and 4 6 Tentative tax on the amount on line 5 from Table A in the instructions 4 Adjusted taxable gifts (see instructions) 5 Add lines 3c and 4 6 Tentative tax on the amount on line 5 from Table A in the instructions 7 Total gift tax paid or payable (see instructions) 8 Gross estate tax (subtract line 7 from line 6) 9a Basic exclusion amount b Deceased spousal unused exclusion (DSUE) amount from predeceased spouse(s), if any (from Section D, Part 6-Portability of Deceased Spousal Unused Exclusion) c Restored exclusion amount (see instructions) d Applicable exclusion amount (add lines 9a, 9b, and 9c) e Applicable credit amount (tentative tax on the amount in line 9d from Table A in the instructions) 10 Adjustment to applicable credit amount (May not exceed $6,000. See instructions. 11 Allowable applicable credit amount (subtract line 10 from line 9e) 11 12 Subtract line 11 from line 8 (but do not enter less than zero) 12 13 Credit for foreign death taxes (from Schedule P). (Attach Form(s) 706- CE.) 14 Credit for tax on prior transfers (from Schedule Q) 15 Total credits (add lines 13 and 14) 15 16 Net estate tax (subtract line 15 from line 12) 16 17 Generation-skipping transfer (GST) taxes payable (from Schedule R, Part 2, line 10) 17 18 Total transfer taxes (add lines 16 and 17) 18 19 Prior payments (explain in an attached statement) 19 20 Balance due (or overpayment) (subtract line 19 from line 18) 20 Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete. Declaration of preparer (other than the executor) is based on all information of which preparer has any knowledge. Part 2-Tax Computation 9a 9b 9c 9d 9e 10 13 14 0 5 6 7 8 0 0 0 ! Required information [The following information applies to the questions displayed below.] In 2010 Casey made a taxable gift of $6.0 million to both Stephanie and Linda (a total of $12.0 million in taxable gifts). Required: Calculate the amount of gift tax due this year and Casey's unused exemption equivalent under the following alternatives. (Refer to Exhibit 25-1 and Exhibit 25-2.) (Enter your answers in dollars, not millions of dollars. Leave no answer blank. Enter zero if applicable.) a. This year Casey made a taxable gift of $1 million to Stephanie. Casey is not married, and the 2010 gift was the only other taxable gift he has ever made. Gift tax due $ 0 Unused exemption equivalent Required information [The following information applies to the questions displayed below.] In 2010 Casey made a taxable gift of $6.0 million to both Stephanie and Linda (a total of $12.0 million in taxable gifts). Required: Calculate the amount of gift tax due this year and Casey's unused exemption equivalent under the following alternatives. (Refer to Exhibit 25-1 and Exhibit 25-2.) (Enter your answers in dollars, not millions of dollars. Leave no answer blank. Enter zero if applicable.) b. This year Casey made a taxable gift of $16.0 million to Stephanie. Casey is not married, and the 2010 gift was the only other taxable gift he has ever made. Gift tax due Unused exemption equivalent $ 0