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Jones is seriously ill and has $ 4 . 0 0 million of property that he wants to leave to his four children. Jones is

Jones is seriously ill and has $4.00 million of property that he wants to leave to his four children. Jones is considering making a current gift of the property (rather than leaving the property to pass through a will). Assume all of his exemption equivalent was used and any taxable transfers will be subject to the highest transfer tax rate. (Refer to Exhibit 25-1 and Exhibit 25-2.)
a-1. Determine how much gift tax Jones will owe if the transfers are made now.
a-2. If Jones makes a current gift, how much estate tax will be saved if Jones dies after three years, during which time the property appreciates to $5 million?

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