Mr. Ito, an unmarried individual, made a gift of real estate to his son. Compute the amount subject to federal gift tax in each of the following situations: Assume the taxable year is 2018. Note that Congress adjusted the lifetime exclusion rate subsequent to publication. For this problem, assume a lifetime exclusion of $11,200,000 rather than the current exclusion of $11,180,000.

1. The FMV of the real estate was $4.75 million, and the transfer was Mr. Itos first taxable gift.
2. The FMV of the real estate was $15 million, and the transfer was Mr. Itos first taxable gift.
3. The FMV of the real estate was $15 million. Two years ago, Mr. Ito made his first taxable gift: marketable securities with a $3 million FMV in excess of the annual exclusion.