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 ansets Cash and stock Intangible ansets (film rights Real estate $ 1,130,000 25,300,000 78.000.000 16,300,000 $ 120,730,000 Liabilities: Mortgage Other liabilities $ 4,500,000 5,400,000 9,900,000 $ Liabilities: Mortgage Other liabilities $ 4,500,000 5,400,000 9.900,000 $ a. Tom made a taxable gift of $6.40 million in 2011. Compute the estate tax for Tom's estate. (Refer to Exhibit 251 and Exhibit 25:2.) (Enter your answers in dollars, not millions of dollars.) Gross ostate Marital Deduction Charitable Deduction Debts Taxable Estate Adjusted taxable gifts Cumulative taxable transfers Tax on cumulative transfers Current tax on adjusted taxable gifts Tentative estate tax Applicable credit (tax on $11.58 million) Estate Tax Duo EXHIBIT 25-1 Unified Transfer Tax Rates Plus Not Over $10,000 20,000 18% 20 Tax Base Equal to or 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 40,000 60,000 80.000 100.000 150,000 250,000 500,000 750.000 1,000,000 Tentative Tax $ 0 1,800 3,800 8,200 13,000 18,200 23,800 38,800 70,800 155,800 248,300 345,800 22 24 26 28 30 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 32 34 37 39 40 *The applicable credit and exemption are zero for estates that opted out of the estate tax in 2010, EXHIBIT 25-2 The Exemption Equivalent Year of Transfer 1986 1987-1997 1998 1999 2000-2001 2002-2003 2004-2005 2006-2008 2009-2010* 2011 2012 2013 Gift Tax $500,000 600,000 625,000 650,000 675,000 1,000,000 1,000,000 1,000,000 1,000,000 5,000,000 5,120,000 5,250,000 5.340,000 5,430,000 5,450,000 5,490,000 11,180,000 11,400,000 11,580,000 Estate Tax $500,000 600,000 625.000 650,000 675,000 1,000,000 1,500,000 2,000,000 3,500,000 5,000,000 5,120,000 5,250,000 5.340,000 5,430,000 5,450,000 5,490,000 11,180,000 11,400,000 11,580,000 2014 2015 2016 2017 2018 2019 2020 *The applicable credit and exemption are zero for taxpayers who opt out of the estate tax in 2010