John would like to know the tax consequences and filing requirements if he gifts a $72000 annuity to his granddaughter Sara. Assume that Mary, his wife, will elect to gift spilt. John and Mary want you to explain any generation skipping tax liability or tax consequences to this gift to Sara. For generation skipping transfer tax purposes, what is the taxable amount of the gift?

Total John Mary

TOTAL FMV at Time of Gift ? ? ?

Less: Gift tax exclusion John ? ? ?

Less: Gift tax exclusion Mary ? ? ?

= NET TAXABLE GIFT ? ? ?