Question
Natalie Bryan, a widow who lives at 425 Flathead Way, Kalispell, Montana 59901, has three adult children (Daniel Bryan, Amanda Green, and Samantha Cruz). During
Natalie Bryan, a widow who lives at 425 Flathead Way, Kalispell, Montana 59901, has three adult children (Daniel Bryan, Amanda Green, and Samantha Cruz). During the year, Natalie makes the following gifts to the children.
To Daniel. Office building in Helena acquired in 2001 at a cost of $900,000, current value $1.9 million.
To Amanda. Rental cabins in Whitefish inherited in 1999 (value $1 million) from her father, current value $1.8 million.
To Samantha. Vacation lodge on Flathead Lake acquired in 1995 at a cost of $800,000, current value $1.9 million.
Prepare a 2016 gift tax return (Form 709) for Natalie (Social Security number 123-45-6787) to compute the total taxable gifts (line 3) for her; stop with line 3 of page 1, but complete pages 2 and 3 of the return. Natalie made no taxable gifts in prior years.
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