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                                                                                                            Department of the Treasury
                                                                                                            Internal Revenue Service
2024

Instructions for Form 709

United States Gift (and Generation-Skipping Transfer) Tax Return
For gifts made during calendar year 2024

Section references are to the Internal Revenue Code unless                                  For Gifts Made                          Use Revision of
otherwise noted.                                                                      After            and Before                   Form 709 Dated
Contents                                                               Page
                                                                                      – – – – –       January 1, 1982 November 1981
General Instructions   . . . . . . . . . . . . . . . . . . . . . . . . . 2
Purpose of Form . . . . . . . . . . . . . . . . . . . . . . . . .        2    December 31, 1981       January 1, 1987 January 1987
Who Must File        . . . . . . . . . . . . . . . . . . . . . . . . . . 2    December 31, 1986       January 1, 1989 December 1988
When To File       . . . . . . . . . . . . . . . . . . . . . . . . . . . 5    December 31, 1988       January 1, 1990 December 1989
Where To File . . . . . . . . . . . . . . . . . . . . . . . . . . .      5    December 31, 1989       October 9, 1990 October 1990
Amending Form 709 To Provide                                                          October 8, 1990 January 1, 1992 November 1991
Supplemental Information                 . . . . . . . . . . . . . . . . 6    December 31, 1992       January 1, 1998 December 1996
Adequate Disclosure          . . . . . . . . . . . . . . . . . . . . . . 6
                                                                              December 31, 1997             – – – – – *
Penalties    . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
                                                                                                * Use the corresponding annual form.
Joint Tenancy . . . . . . . . . . . . . . . . . . . . . . . . . . .      6
Transfer of Certain Life Estates Received 
From Spouse . . . . . . . . . . . . . . . . . . . . . . . . .            6
Specific Instructions  . . . . . . . . . . . . . . . . . . . . . . . . . 7
                                                                            What's New
Part I—General Information . . . . . . . . . . . . . . . . .             7
                                                                            • Part I, General Information. Entry lines in this section were 
Part III—Spouse's Consent on Gifts to Third                                   reorganized and the address includes foreign address 
Parties . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      7    entries. Lines 12 through 18 were moved to Part III.
Schedule A. Computation of Taxable Gifts                     . . . . . . 8  • Part III, Spouse's consent on gifts to third parties. Part 
Gifts Subject to Both Gift and GST Taxes                   . . . . . . . 9    I, entries 12 through 18 were moved to a new Part III on the 
                                                                              second page of Form 709. A consenting spouse is no longer 
Schedule B. Gifts From Prior Periods                 . . . . . . . . .   14   required to sign the return but must sign a Notice of Consent 
Schedule C. Portability of Deceased Spousal                                   to be attached to the donor's return.
Unused Exclusion (DSUE) Amount and                                          • Schedule A. Columns for Parts 1, 2 and 3 of Schedule A 
Restored Exclusion Amount                  . . . . . . . . . . . . . .   19   were reorganized. New columns (k), (l) and (m) with 
Schedule D. Computation of GST Tax                   . . . . . . . . .   20   checkbox on parts 1 and 3 was added to identify if gift is a 
                                                                              charitable gift, deductible gift to spouse, or 2652(a)(3) 
Part II—Tax Computation (Page 1 of Form                                       election.
709)         . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 • New Form 709-NA. If you are a nonresident not a citizen of 
Signature . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      23   the United States and made gifts of tangible property 
                                                                              situated in the United States, file Form 709-NA, United 
                                                                              States Gift (and Generation-Skipping Transfer) Tax Return of 
Future Developments                                                           Nonresident Not a Citizen of the United States.
For the latest information about developments related to Form               • The annual gift exclusion for 2024 is $18,000. See Annual 
709 and its instructions, such as legislation enacted after they              Exclusion, later.
were published, go to IRS.gov/Form709.                                      • For gifts made to spouses who are not U.S. citizens, the 
                                                                              annual exclusion has increased to $185,000. See 
                                                                              Nonresidents Not Citizens of the United States, later.
                                                                            • The top rate for gifts and generation-skipping transfers 
                                                                              remains at 40%. See Table for Computing Gift Tax.
                                                                            • The basic credit amount for 2024 is $5,389,800. See Table 
                                                                              of Basic Exclusion and Credit Amounts.
                                                                            • The applicable exclusion amount consists of the basic 
                                                                              exclusion amount ($13,610,000 in 2024) and, in the case of 
                                                                              a surviving spouse, any unused exclusion amount of the last 
                                                                              deceased spouse (who died after December 31, 2010). The 
                                                                              executor of the predeceased spouse's estate must have 
                                                                              elected on a timely and complete Form 706 to allow the 
                                                                              donor to use the predeceased spouse's unused exclusion 
                                                                              amount.

Oct 16, 2024                                                           Cat. No. 16784X

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Reminders Who Must File
Digital assets. A new question regarding digital assets appears In general. If you are a citizen or resident of the United States,
on Line 20. See Digital assets and Line 21. Digital Assets, later, you must file a gift tax return (whether or not any tax is ultimately
for information on transfers involving digital assets. Do not leave due) in the following situations.
this question unanswered. The question must be answered by • If you gave gifts to someone in 2024 totaling more than
all taxpayers, not just taxpayers who made transfers involving $18,000 (other than to your spouse), you probably must file
digital assets. Form 709. But see Transfers Not Subject to the Gift Tax and
Gifts to Your Spouse, later, for more information on specific
Photographs of Missing Children gifts that are not taxable.
The IRS is a proud partner with the National Center for Missing & • Certain gifts, called future interests, are not subject to the
Exploited Children® (NCMEC). Photographs of missing children $18,000 annual exclusion and you must file Form 709 even if
selected by the Center may appear in instructions on pages that the gift was under $18,000. See Annual Exclusion, later.
would otherwise be blank. You can help bring these children • Spouses may not file a joint gift tax return. Each individual is
home by looking at the photographs and calling responsible to file a Form 709.
1-800-THE-LOST (1-800-843-5678) if you recognize a child. • You must file a gift tax return to split gifts with your spouse
(regardless of their amount) as described in Part III Spouse's
Consent on Gifts to Third Parties, later.
General Instructions • If a gift is of community property, it is considered made
one-half by each spouse. For example, a gift of $100,000 of
Purpose of Form community property is considered a gift of $50,000 made by
Use Form 709 to report the following. each spouse, and each spouse must file a gift tax return.
• Transfers subject to the federal gift and certain • Likewise, each spouse must file a gift tax return if they have
generation-skipping transfer (GST) taxes and to figure the made a gift of property held by them as joint tenants or
tax due, if any, on those transfers. tenants by the entirety.
• Allocation of the lifetime GST exemption to property • Only individuals are required to file gift tax returns. If a trust,
transferred during the transferor's lifetime. (For more details, estate, partnership, or corporation makes a gift, the
see Schedule D, Part 2—GST Exemption Reconciliation, individual beneficiaries, partners, or stockholders are
later, and Regulations section 26.2632-1.) considered donors and may be liable for the gift and GST
taxes.
All gift and GST taxes must be figured and filed on a The donor is responsible for paying the gift tax. However, if
•
! calendar year basis. List all reportable gifts made during the donor does not pay the tax, the person receiving the gift
CAUTION the calendar year on one Form 709. This means you
may have to pay the tax.
must file a separate return for each calendar year a reportable If a donor dies before filing a return, the donor's executor
gift is given (for example, a gift given in 2024 must be reported •
must file the return.
on a 2024 Form 709). Do not file more than one Form 709 for any
1 calendar year. Who does not need to file. If you meet all of the following
requirements, you are not required to file Form 709.
How To Complete Form 709 • You made no gifts during the year to your spouse.
• You did not give more than $18,000 to any one donee.
1. Determine whether you are required to file Form 709. • All the gifts you made were of present interests.
2. Determine what gifts you must report. Gifts to charities. If the only gifts you made during the year are
3. Decide whether you and your spouse, if any, will elect to deductible as gifts to charities, you do not need to file a return as
split gifts for the year. long as you transferred your entire interest in the property to
qualifying charities. If you transferred only a partial interest, or
4. Complete lines 1 through 21 of Part I—General Information. transferred part of your interest to someone other than a charity,
5. Complete lines 1 through 7 of Part III—Spouse's Consent you must still file a return and report all of your gifts to charities.
on Gifts to Third Parties.
Note. See Pub. 526, Charitable Contributions, for more
6. List each gift on Part 1, 2, or 3 of Schedule A, as information on identifying a qualified charity.
appropriate. If you are required to file a return to report noncharitable gifts
7. Complete Schedules B, C, and D, as applicable. and you made gifts to charities, you must include all of your gifts
to charities on the return.
8. If the gift was listed on Part 2 or 3 of Schedule A, complete
the necessary portions of Schedule D. Transfers Subject to the Gift Tax
9. Complete Schedule A, Part 4. Generally, the federal gift tax applies to any transfer by gift of real
or personal property, whether tangible or intangible, that you
10. Complete Part II—Tax Computation. made directly or indirectly, in trust, or by any other means.
11. Sign and date the return.
The gift tax applies not only to the free transfer of any kind of
Make sure to complete page 1 and the applicable property, but also to sales or exchanges, not made in the
! schedules in their entirety. Returns filed without entries in ordinary course of business, where value of the money (or
CAUTION each field will not be processed. property) received is less than the value of what is sold or
exchanged. The gift tax is in addition to any other tax, such as
federal income tax, paid or due on the transfer.
The exercise or release of a general power of appointment
may be a gift by the individual possessing the power. General
powers of appointment are those in which the holders of the
power can appoint the property under the power to themselves,

2 Instructions for Form 709 (2024)

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their creditors, their estates, or the creditors of their estates. To activities are regularly carried on. See section 170(b)(1)(A)(ii)
qualify as a power of appointment, it must be created by and its regulations.
someone other than the holder of the power. The payment must be made directly to the qualifying
educational organization and it must be for tuition. No
The gift tax may also apply to forgiving a debt, to making an educational exclusion is allowed for amounts paid for books,
interest-free or below-market interest rate loan, to transferring supplies, room and board, or other similar expenses that are not
the benefits of an insurance policy, to certain property direct tuition costs. To the extent that the payment to the
settlements in divorce cases, and to giving up some amount of educational organization was for something other than tuition, it
annuity in exchange for the creation of a survivor annuity. is a gift to the individual for whose benefit it was made, and may
Bonds that are exempt from federal income taxes are not be offset by the annual exclusion if it is otherwise available.
exempt from federal gift taxes. Contributions to a qualified tuition program (QTP) on behalf of
a designated beneficiary do not qualify for the educational
Sections 2701 and 2702 provide rules for determining exclusion. See Line B. Qualified Tuition Programs (529 Plans or
whether certain transfers to a family member of interests in Programs) in the instructions for Schedule A, later.
corporations, partnerships, and trusts are gifts. The rules of
section 2704 determine whether the lapse of any voting or Medical exclusion. The gift tax does not apply to an amount
liquidation right is a gift. you paid on behalf of an individual to a person or institution that
provided medical care for the individual. The payment must be to
Digital assets. The gift tax applies to transfers of digital assets. the care provider. The medical care must meet the requirements
Digital assets are any digital representations of value that are of section 213(d) (definition of medical care for income tax
recorded on a cryptographically secured distributed ledger or deduction purposes). Medical care includes expenses incurred
any similar technology. For example, digital assets include for the diagnosis, cure, mitigation, treatment, or prevention of
non-fungible tokens (NFTs) and virtual currencies, such as disease, or for the purpose of affecting any structure or function
cryptocurrencies and stablecoins. If a particular asset has the of the body, or for transportation primarily for and essential to
characteristics of a digital asset, it will be treated as a digital medical care. Medical care also includes amounts paid for
asset for federal transfer tax purposes. medical insurance on behalf of any individual.
Gifts to your spouse. You must file a gift tax return if you made The medical exclusion does not apply to amounts paid for
any gift to your spouse of a terminable interest that does not medical care that are reimbursed by the donee's insurance. If
meet the exception described in Life estate with power of payment for a medical expense is reimbursed by the donee's
appointment, later, or if your spouse is not a U.S. citizen and the insurance company, your payment for that expense, to the extent
total gifts you made to your spouse during the year exceed of the reimbursed amount, is not eligible for the medical
$185,000. exclusion and you are considered to have made a gift to the
You must also file a gift tax return to make the qualified donee of the reimbursed amount.
terminable interest property (QTIP) election described under To the extent that the payment was for something other than
Line 12. Election Out of QTIP Treatment of Annuities, later. medical care, it is a gift to the individual on whose behalf the
Except as described earlier, you do not have to file a gift tax payment was made and may be offset by the annual exclusion if
return to report gifts to your spouse regardless of the amount of it is otherwise available.
these gifts and regardless of whether the gifts are present or The medical and educational exclusions are allowed without
future interests. regard to the relationship between you and the donee. For
examples illustrating these exclusions, see Regulations section
Transfers Not Subject to the Gift Tax 25.2503-6(c).
Four types of transfers are not subject to the gift tax. These are: Qualified disclaimers. A donee's refusal to accept a gift is
• Transfers to political organizations, called a disclaimer. If a person makes a qualified disclaimer of
• Transfers to certain exempt organizations, any interest in property, the property will be treated as if it had
• Payments that qualify for the educational exclusion, and never been transferred to that person. Accordingly, the
• Payments that qualify for the medical exclusion. disclaimant is not regarded as making a gift to the person who
These transfers are not “gifts” as that term is used on Form 709 receives the property because of the qualified disclaimer.
and its instructions. You need not file a Form 709 to report these Requirements. To be a qualified disclaimer, a refusal to
transfers and should not list them on Schedule A of Form 709 if accept an interest in property must meet the following
you do file Form 709. conditions.
Political organizations. The gift tax does not apply to a 1. The refusal must be in writing.
transfer to a political organization (defined in section 527(e)(1)) 2. The refusal must be received by the donor, the legal
for the use of the organization. representative of the donor, the holder of the legal title to the
Certain exempt organizations. The gift tax does not apply to a property disclaimed, or the person in possession of the
transfer to any civic league or other organization described in property within 9 months after the later of:
section 501(c)(4); any labor, agricultural, or horticultural
organization described in section 501(c)(5); or any business a. The day the transfer creating the interest is made, or
league or other organization described in section 501(c)(6) for b. The day the disclaimant reaches age 21.
the use of such organization, provided that such organization is
exempt from tax under section 501(a). 3. The disclaimant must not have accepted the interest or any
of its benefits.
Educational exclusion. The gift tax does not apply to an
amount you paid on behalf of an individual to a qualifying 4. As a result of the refusal, the interest must pass without any
domestic or foreign educational organization as tuition for the direction from the disclaimant to either:
education or training of the individual. A qualifying educational a. The spouse of the decedent, or
organization is one that normally maintains a regular faculty and
curriculum and normally has a regularly enrolled body of pupils b. A person other than the disclaimant.
or students in attendance at the place where its educational
Instructions for Form 709 (2024) 3

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5. The refusal must be irrevocable and unqualified. An NRNC of the United States is subject to gift and GST
taxes for gifts of tangible property situated in the United States.
The 9-month period for making the disclaimer is generally See section 2501(a). If you are an NRNC of the United States
determined separately for each taxable transfer. For gifts, the and made such gifts, file Form 709-NA, United States Gift (and
period begins on the date the transfer is a completed transfer for Generation-Skipping Transfer) Tax Return of Nonresident Not a
gift tax purposes. Citizen of the United States.
Annual Exclusion If you were an NRNC of the United States for the entire
The first $18,000 of gifts of present interest to each donee during calendar year who made a gift subject to U.S. gift tax, you must
the calendar year is subtracted from total gifts in figuring the file Form 709-NA when any of the following apply.
amount of taxable gifts. For a gift in trust, each beneficiary of the • You gave any gifts of future interests.
trust is treated as a separate donee for purposes of the annual • Your gifts of present interests to any donee other than your
exclusion. spouse total more than $18,000.
• Your outright gifts to your spouse who is not a U.S. citizen
All of the gifts made during the calendar year to a donee are total more than $185,000.
fully excluded under the annual exclusion if they are all gifts of
present interest and they total $18,000 or less. Note. If you are a taxpayer who is a partial-year resident/citizen
of the United States who makes gifts of U.S.-situs property
Note. For gifts made to spouses who are not U.S. citizens, the during the portion of the year that you are a nonresident
annual exclusion has been increased to $185,000, provided the non-citizen and also during the portion of the same year when
additional (above the $18,000 annual exclusion) $167,000 gift you are a U.S. citizen or resident, you must account for
would otherwise qualify for the gift tax marital deduction (as reportable gifts and tax attributes allocable to your nonresident
described in the Schedule A, Part 4, line 4, instructions, later). non-citizen period as well as your citizen or resident period. In
such circumstances, the taxpayer must file only Form 709 and
Note. Only the annual exclusion applies to gifts made to a include information for all reportable gifts made regardless of the
nonresident not a citizen of the United States. Deductions and taxpayer's status.
credits are not considered in determining gift tax liability for such
transfers. Transfers Subject to the GST Tax
A gift of a future interest cannot be excluded under the annual You must report on Form 709 the GST tax imposed on inter vivos
exclusion. direct skips. An inter vivos direct skip is a transfer made during
the donor's lifetime that is:
A gift is considered a present interest if the donee has all Subject to the gift tax,
•
immediate rights to the use, possession, and enjoyment of the Of an interest in property, and
•
property or income from the property. Made to a skip person. (See Gifts Subject to Both Gift and
•
A gift is considered a future interest if the donee's rights to the GST Taxes, later.)
use, possession, and enjoyment of the property or income from
the property will not begin until some future date. Future interests A transfer is subject to the gift tax if it is required to be
include reversions, remainders, and other similar interests or reported on Schedule A of Form 709 under the rules contained
estates. in the gift tax portions of these instructions, including the split gift
rules. Therefore, transfers made to political organizations,
A contribution to a QTP on behalf of a designated beneficiary transfers made to certain exempt organizations, transfers that
is considered a gift of a present interest. qualify for the medical or educational exclusions, transfers that
are fully excluded under the annual exclusion, and most transfers
A gift to a minor is considered a present interest if all of the made to your spouse are not subject to the GST tax.
following conditions are met.
1. Both the property and its income may be expended by, or Transfers subject to the GST tax are described in further
for the benefit of, the minor before the minor reaches age detail in the instructions.
21. Certain transfers, particularly transfers to a trust, that are
2. All remaining property and its income must pass to the ! not subject to gift tax and are therefore not subject to the
minor on the minor's 21st birthday. CAUTION GST tax on Form 709 may be subject to the GST tax at a
later date. This is true even if the transfer is less than the
3. If the minor dies before the age of 21, the property and its $18,000 annual exclusion. In this instance, you may want to
income will be payable either to the minor's estate or to apply a GST exemption amount to the transfer on this return or
whomever the minor may appoint under a general power of on a Notice of Allocation. However, you should be aware that a
appointment. GST exemption may be automatically allocated to the gift if the
trust that receives the gift is a “GST trust” (as defined under
The gift of a present interest to more than one donee as joint section 2632(c)). For more information, see Schedule D, Part
tenants qualifies for the annual exclusion for each donee. 2—GST Exemption Reconciliation and Schedule A, Part
3—Indirect Skips and Other Transfers in Trust, later.
Nonresident Not a Citizen (NRNC) of the United
States
Transfers Subject to an Estate Tax Inclusion
For gift tax purposes, an individual is an NRNC of the United
States if the individual is neither domiciled in nor a citizen of the Period (ETIP)
United States at the time the gift is made. An individual who Certain transfers receive special treatment if the transferred
acquired U.S. citizenship solely by reason of being a citizen of a property is subject to an ETIP. An ETIP is the period during
U.S. territory or by reason of birth or residence within a U.S. which, should the donor die, the value of transferred property
territory is not treated as a U.S. citizen. would be includible (other than by reason of section 2035) in the
gross estate of the donor or the spouse of the donor. For
Note. An individual may be a U.S. resident for income tax transfers subject to an ETIP, GST tax reporting is required at the
purposes yet be considered a nonresident for gift tax purposes. close of the ETIP.

4 Instructions for Form 709 (2024)

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For example, if Pat transfers a house to a qualified personal occur on the date the qualified payment is received. If it is made
residence trust for a term of 10 years, with the remainder to Pat’s on a late-filed return, the taxable event is deemed to occur on the
granddaughter, the value of the house would be includible in first day of the month immediately preceding the month in which
Pat’s estate if Pat died within the 10-year period during which Pat the return is filed. For information on what must be in the
retained an interest in the trust. In this case, a portion of the statement and for definitions and other details on this election,
transfer to the trust is a completed gift that must be reported on see section 2701 and Regulations section 25.2701-4(d).
Part 1 of Schedule A. The GST portion of the transfer would not
be reported until Pat died or Pat’s interest in the trust otherwise All of the elections may be revoked, but only with the consent
ended. of the IRS.

Report the gift portion of such a transfer on Schedule A, Part When To File
1, at the time of the actual transfer. Report the GST portion on Form 709 is an annual return.
Schedule D, Part 1, but only at the close of the ETIP. Use Form
709 only to report those transfers where the ETIP closed due to Generally, you must file Form 709 no earlier than January 1,
something other than the donor's death. (If the ETIP closed as but not later than April 15, of the year after the gift was made.
the result of the donor's death, report the transfer on Form 706, However, in instances when April 15 falls on a Saturday, Sunday,
United States Estate (and Generation-Skipping Transfer) Tax or legal holiday, Form 709 will be due on the next business day.
Return.) See section 7503.
If you are filing this Form 709 solely to report the GST portion If the donor died during 2024, the executor must file the
of transfers subject to an ETIP, complete the form as you donor's 2024 Form 709 not later than the earlier of:
normally would with the following exceptions. The due date (with extensions) for filing the donor's estate
•
1. Write “ETIP” at the top of page 1. tax return; or
• April 15, 2025, or the extended due date granted for filing
2. Complete only lines 1 through 8, 12, and 14 through 16 of the donor's gift tax return.
Part I—General Information.
3. Complete Schedule D. Complete columns (b) and (c) of Extension of Time To File
Schedule D, Part 1, as explained in the instructions for that There are two methods of extending the time to file the gift tax
schedule. return. Neither method extends the time to pay the gift or GST
4. Complete only lines 10 and 11 of Schedule A, Part 4. taxes. If you want an extension of time to pay the gift or GST
taxes, you must request that separately. See Regulations section
5. Complete Part II—Tax Computation. 25.6161-1.
A direct skip that is subject to an ETIP is deemed to have By extending the time to file your income tax return. Any
TIP been made only at the close of the ETIP. Any allocation extension of time granted for filing your calendar year 2024
of GST exemption to the transfer of property subject to federal income tax return will also automatically extend the time
an ETIP, whether a direct skip or an indirect skip, shall not be to file your 2024 federal gift tax return. Income tax extensions are
made until the close of the ETIP. The donor may prevent the made by using Form 4868, Application for Automatic Extension
automatic allocation of GST exemption by electing out of the of Time To File U.S. Individual Income Tax Return, or Form 2350,
automatic allocation rules at any time prior to the due date of the Application for Extension of Time To File U.S. Income Tax
Form 709 for the calendar year in which the close of the ETIP Return. You may only use these forms to extend the time for filing
occurs (whether or not any transfer was made in the calendar your gift tax return if you are also requesting an extension of time
year for which the Form 709 was filed, and whether or not a Form to file your income tax return.
709 would otherwise be required to be filed for that year). By filing Form 8892. If you do not request an extension for your
income tax return, use Form 8892, Application for Automatic
Section 2701 Elections Extension of Time To File Form 709 or Form 709-NA and/or
The special valuation rules of section 2701 contain three Payment of Gift/Generation-Skipping Transfer Tax, to request an
elections that you can make only with Form 709. automatic 6-month extension of time to file your federal gift tax
return. In addition to containing an extension request, Form 8892
1. A transferor may elect to treat a qualified payment right that also serves as a payment voucher (Form 8892-V) for a balance
the transferor holds (and all other rights of the same class) due on federal gift taxes for which you are extending the time to
as other than a qualified payment right. file. For more information, see Form 8892.
2. A person may elect to treat a distribution right held by that
person in a controlled entity as a qualified payment right. Private Delivery Services (PDSs)
Filers can use certain PDSs designated by the IRS to meet the
3. An interest holder may elect to treat as a taxable event the “timely mailing as timely filing” rule for tax returns. Go to
payment of a qualified payment that occurs more than 4 IRS.gov/PDS for the current list of designated services.
years after its due date.
The elections described in (1) and (2) must be made on the The PDS can tell you how to get written proof of the mailing
Form 709 that is filed by the transferor to report the transfer that date.
is being valued under section 2701. The elections are made by
attaching a statement to Form 709. For information on what must For the IRS mailing address to use if you're using a PDS, go
be in the statement and for definitions and other details on the to IRS.gov/PDSstreetAddresses.
elections, see section 2701 and Regulations section PDSs can't deliver items to P.O. boxes. You must use the
25.2701-2(c). ! U.S. Postal Service to mail any item to an IRS P.O. box
CAUTION address.
The election described in (3) may be made by attaching a
statement to the Form 709 filed by the recipient of the qualified
payment for the year the payment is received. If the election is Where To File
made on a timely filed return, the taxable event is deemed to File Form 709 at the following address.
Instructions for Form 709 (2024) 5

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  Department of the Treasury
  Internal Revenue Service Center                                      Penalties
  Kansas City, MO 64999                                                Late filing and late payment.    Section 6651 imposes penalties 
                                                                       for both late filing and late payment, unless there is reasonable 
  If using a PDS, file at this address.                                cause for the delay.
  Internal Revenue Service                                             Reasonable-cause determinations.        If you receive a notice 
  333 W. Pershing Road                                                 about penalties after you file Form 709, send an explanation and 
  Kansas City, MO 64108                                                we will determine if you meet reasonable-cause criteria. Do not 
                                                                       attach an explanation when you file Form 709.
                                                                       There are also penalties for willful failure to file a return on 
Amending Form 709 To Provide                                           time, willful attempt to evade or defeat payment of tax, and 
                                                                       valuation understatements that cause an underpayment of the 
Supplemental Information                                               tax. A substantial valuation understatement occurs when the 
If you find that you must make a correction on a return that has       reported value of property entered on Form 709 is 65% or less of 
already been filed, and/or provide supplemental information, you       the actual value of the property. A gross valuation 
should:                                                                understatement occurs when the reported value listed on the 
• File another Form 709;                                               Form 709 is 40% or less of the actual value of the property.
• Check the amended return box in line 15 of Part I—General 
  Information;                                                         Return preparer. Penalties may also be applied to tax return 
• Include a statement of what has changed, along with the              preparers, including gift tax return preparers.
  supporting information; and                                          Gift tax return preparers who prepare any return or claim for 
• Attach a copy of the original Form 709 that has already been         refund that reflects an understatement of tax liability due to an 
  filed.                                                               unreasonable position are subject to a penalty equal to the 
  For the mailing address for a supplemental Form 709, see             greater of $1,000 or 50% of the income earned (or to be earned) 
Filing Estate and Gift Tax Returns. File the amended Form 709 at       for the preparation of each such return.
the following address.                                                 Gift tax return preparers who prepare any return or claim for 
                                                                       refund with an understatement of tax liability due to willful or 
  Internal Revenue Service Center                                      reckless conduct can be penalized $5,000 or 75% of the income 
  Attn: E&G, Stop 824G                                                 derived (or to be derived) for the preparation of the return.
  7940 Kentucky Drive                                                  Gift tax return preparers who prepare any return or claim for a 
  Florence, KY 41042-2915                                              refund are required to furnish a copy to the taxpayer, sign the 
                                                                       return, and provide their PTIN, but who fail to do so, are subject 
  If using a PDS, file at this address.                                to a penalty of $50 for such failure, unless it is shown that such 
                                                                       failure is due to reasonable cause and not due to willful neglect.
  Internal Revenue Service Center                                      See section 6694, the related regulations, and Ann. 2009-15, 
  Attn: E&G, Stop 824G                                                 2009-11 I.R.B. 687, available at IRS.gov/pub/irs-irbs/
  7940 Kentucky Drive                                                  irb09-11.pdf, for more information.
  Florence, KY 41042-2915
                                                                       Joint Tenancy
  If you have already been notified that the return has been           If you buy property with your own funds and the title to the 
selected for examination, you should provide the additional            property is held by you and a donee as joint tenants with right of 
information directly to the office conducting the examination.         survivorship and if either you or the donee may give up those 
        See the Caution under Part III Spouse's Consent on             rights by severing your interest, you have made a gift to the 
TIP     Gifts to Third Parties, later, before you mail the return.     donee in the amount of half the value of the property.
                                                                       If you create a joint bank account for yourself and a donee (or 
Adequate Disclosure                                                    a similar kind of ownership by which you can get back the entire 
                                                                       fund without the donee's consent), you have made a gift to the 
        To begin the running of the statute of limitations for a gift, donee when the donee draws on the account for the donee’s 
  !     the gift must be adequately disclosed on Form 709 (or          own benefit. The amount of the gift is the amount that the donee 
CAUTION an attached statement) filed for the year of the gift.         took out without any obligation to repay you.
  In general, a gift will be considered adequately disclosed if 
the return or statement includes the following.                        If you buy a U.S. savings bond registered as payable to 
• A full and complete Form 709.                                        yourself or a donee, there is a gift to the donee when the donee 
• A description of the transferred property and any                    cashes the bond without any obligation to account to you.
  consideration received by the donor.
• The identity of, and relationship between, the donor and             Transfer of Certain Life Estates 
  each donee.                                                          Received From Spouse
• If the property is transferred in trust, the trust's employer        If you received a qualified terminable interest (see Line 12. 
  identification number (EIN) and a brief description of the           Election Out of QTIP Treatment of Annuities in the instructions for 
  terms of the trust (or a copy of the trust instrument in lieu of     Schedule A, later) from your spouse for which a marital 
  the description).                                                    deduction was elected on your spouse's estate or gift tax return, 
• Either a qualified appraisal or a detailed description of the        you will be subject to the gift tax (and GST tax, if applicable) if 
  method used to determine the fair market value of the gift.          you dispose of all or part of your life income interest (by gift, sale, 
  See Regulations section 301.6501(c)-1(e) and (f) for details,        or otherwise).
including what constitutes a qualified appraisal, the information 
required if no appraisal is provided, and the information required     Generally, the entire value of the property transferred will be 
for transfers under sections 2701 and 2702.                            treated as a taxable gift less:

6                                                                                                     Instructions for Form 709 (2024)

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1. The amount you received (if any) for the life income interest; Line 20. Application of DSUE Amount
and If the donor is a citizen or resident of the United States and the
2. The amount (if any) determined after the application of spouse died after December 31, 2010, the donor may be eligible
section 2702, valuing certain retained interests at zero, for to use the deceased spouse's unused exclusion (DSUE)
the life income interest you retained after the transfer. amount. The executor of the spouse's estate must have elected
on Form 706 to allow use of the unused exclusion amount. See
That portion of the property's value that is attributable to the the instructions for Form 706, Part 6—Portability of Deceased
remainder interest is a gift of a future interest for which no annual Spousal Unused Exclusion. If the executor of the estate made
exclusion is allowed. To the extent that you transferred the life this election, attach the first four pages of Form 706 filed by the
income interest without receiving any value in return, the transfer estate. Include any attachments related to DSUE that were filed
is a gift, and you may claim an annual exclusion, treating the with Form 706 and calculations of any adjustments to the DSUE
person to whom you transferred the interest as the donee for amount like audit reports or previously filed Forms 709. Please
purposes of figuring the annual exclusion. see Rev. Proc. 2022-32, which provides an update to the
simplified method for making a late DSUE election for certain
qualifying taxpayers (superseding Rev. Proc. 2017-34). See also
Specific Instructions section 2010(c)(4) and related regulations.
Part I—General Information Using the checkboxes provided, indicate whether the donor is
applying or has applied a DSUE amount from a predeceased
Line 3. Donor’s Social Security Number spouse to gifts reported on this or a previous Form 709. If so,
Enter your social security number (SSN), if applicable, or your complete Schedule C before going to Part II Tax Computation
individual taxpayer identification number (ITIN), but only if you (Page 1 of Form 709), later.
have previously used the ITIN to file other U.S. tax returns. If you
do not have an SSN or a previously used ITIN, the IRS will Line 21. Digital Assets
assign an Internal Revenue Service Number (IRSN) to you. If If you reported on this Form 709 any transfer that includes a
you have already been assigned an IRSN, please enter the digital asset (or a financial interest in a digital asset), answer
number on line 3. If you do not have a SSN, ITIN, or IRSN, leave “Yes” to the question on Line 20. Do not leave the question
line 3 blank. unanswered. You must answer “Yes” or “No” by checking the
appropriate box.
Lines 4–11. Address
Enter your current mailing address. Part III—Spouse's Consent on Gifts to
Foreign address. If you have a foreign address, enter the city Third Parties
name on the appropriate line. Don't enter any other information
on that line, but also complete the spaces below that line. Don't Complete this part only if you checked “Yes” on line 19 of Part
abbreviate the country name. Follow the country's practice for I—General Information.
entering the postal code and the name of the province, county, or A married couple may not file a joint gift tax return.
state. ! However, if after reading the instructions below, you and
P.O. Box. Enter your box number only if your post office doesn't CAUTION your spouse agree to split your gifts, you should file both
deliver mail to your home. of your individual gift tax returns together to help the IRS process
the returns and to avoid correspondence from the IRS.
Line 12. Legal Residence (Domicile)
For gift tax purposes, an individual acquires domicile in a place If you and your spouse both consent, all gifts (including gifts
by living there, for even a brief period of time, with no definite of property held with your spouse as joint tenants or tenants by
present intention of later moving. the entirety) either of you make to third parties during the
calendar year will be considered as made one-half by each of
Enter the state of the United States (including the District of you if all of the following apply.
Columbia) or a foreign country in which you legally reside or are • You and your spouse were married to one another at the
domiciled at the time of the gift. time of the gift.
• If divorced or widowed after the gift, you did not remarry
Line 13. Citizenship during the rest of the calendar year.
Enter your citizenship. • Neither of you was a nonresident not a citizen of the United
States at the time of the gift.
The term “citizen of the United States” includes a person who, • You did not give your spouse a general power of
at the time of making the gift: appointment over the property interest transferred.
• Was domiciled in a territory of the United States,
• Was a U.S. citizen, and If you transferred property partly to your spouse and partly to
• Became a U.S. citizen for a reason other than being a citizen third parties, you can only split the gifts if the interest transferred
of a U.S. territory or being born or residing in a territory. to the third parties is ascertainable at the time of the gift.
If you meet the above criteria, enter “United States.” The consent is effective for the entire calendar year;
Otherwise, enter the country of your citizenship. therefore, all gifts made by both you and your spouse to third
parties during the calendar year (while you were married) must
Line 19 be split.
If you and your spouse want your gifts to be considered made If the consent is effective, the liability for the entire gift tax of
one-half by you and one-half by your spouse, check the “Yes” each spouse is joint and several.
box and complete Part III. If you are not married or do not wish to
split gifts, skip to line 20. If you meet these requirements and want your gifts to be
considered made one-half by you and one-half by your spouse,
check the “Yes” box on line 1, and complete lines 2 through 7.
Instructions for Form 709 (2024) 7

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Line 4 If either of the above exceptions is met, only the donor
If you were married to one another for all of 2024, check the spouse must file a return and the consenting spouse signifies
“Yes” box and skip to line 6. If you were married for only part of consent on that return.
the year, check the “No” box and go to line 5. If you were Specific instructions for Part II Tax Computation (Page 1 of
divorced or widowed after you made the gift, you cannot elect to Form 709) are discussed later. Because you must complete
split gifts if you remarried before the end of 2024. Schedules A, B, C, and D to fill out Part 2, you will find
instructions for these schedules later.
Line 5
Check the box that explains the change in your marital status Schedule A. Computation of Taxable
during the year and give the date you were married, divorced, or
widowed. Gifts
Do not enter on Schedule A any gift or part of a gift that qualifies
Line 7. Consent of Spouse for the political organization, educational, or medical exclusions.
You must indicate spousal consent for gifts made to third parties In the instructions below, gifts means transfers (or parts of
to be considered as made one-half by each spouse by using the transfers) that do not qualify for the political organization,
checkbox, and attaching a Notice of Consent. Your spouse (the educational, or medical exclusions.
consenting spouse) must sign the Notice of Consent for your
gift-splitting election to be valid. The Notice of Consent must be Line A. Valuation Discounts
signed and dated by the consenting spouse and must include a If the value of any gift you report in either Part 1, Part 2, or Part 3
statement that the consenting spouse is electing to treat all gifts of Schedule A includes a discount for lack of marketability, a
made to third parties as having been made one-half by each minority interest, a fractional interest in real estate, blockage,
spouse. If only one spouse is required to file a gift tax return, market absorption, or for any other reason, answer “Yes” to the
then only one Notice of Consent is required, and it must be question at the top of Schedule A. Also attach an explanation
attached to the donor spouse's return. If both spouses are giving the basis for the claimed discounts and showing the
required to file gift tax returns, then each spouse should execute amount of the discounts taken.
a Notice of Consent to be attached to the donor spouse's return.
The Notice of Consent may generally be signed at any time after Line B. Qualified Tuition Programs (529 Plans or
the end of the calendar year. However, there are two exceptions. Programs)
1. The consent may not be obtained after April 15 following the If in 2024, you contributed more than $18,000 to a qualified
end of the year in which the gift was made. But if neither you tuition plan (QTP) on behalf of any one person, you may elect to
nor your spouse has filed a gift tax return for the year on or treat up to $90,000 of the contribution for that person as if you
before that date, the consent must be made on the first gift had made it ratably over a 5-year period. The election allows you
tax return for the year filed by either of you. to apply the annual exclusion to a portion of the contribution in
2. The consent may not be obtained after a notice of each of the 5 years, beginning in 2024. You can make this
deficiency for the gift tax for the year has been sent to either election for as many separate people as you made QTP
you or your spouse. contributions.
You can only apply the election to a maximum of $90,000.
The executor for a deceased spouse or the guardian for a You must report all of your 2024 QTP contributions for any single
legally incompetent spouse may indicate the consent. person that exceed $90,000 (in addition to any other gifts you
made to that person).
When the Consenting Spouse Must Also File a Gift For each of the 5 years, you report in Part 1 of Schedule A
Tax Return one-fifth (20%) of the amount for which you made the election. In
column (e) of Part 1 (Schedule A), list the date of the gift as the
In general, if you and your spouse elect gift splitting, then both calendar year for which you are deemed to have made the gift
spouses must file their own individual gift tax return. (that is, the year of the current Form 709 you are filing). Do not
list the actual year of contribution for subsequent years.
However, only one spouse must file a return if the However, if in any of the last 4 years of the election, you did
requirements of either of the exceptions below are met. In these not make any other gifts that would require you to file a Form
exceptions, gifts means transfers (or parts of transfers) that do 709, you do not need to file Form 709 to report that year's portion
not qualify for the political organization, educational, or medical of the election amount.
exclusions. Example. In 2024, D contributed $100,000 to a QTP for the
Exception 1. During the calendar year: benefit of A. D elects to treat $90,000 of this contribution as
• Only one spouse made any gifts, having been made ratably over a 5-year period. Accordingly, for
• The total value of these gifts to each third-party donee does 2024, D reports the following.
not exceed $36,000, and
• All of the gifts were of present interests. $10,000 (the amount of the contribution that exceeded
$90,000)
Exception 2. During the calendar year: + $18,000 (the / portion from the election)1 5
• Only one spouse (the donor spouse) made gifts of more
than $18,000 but not more than $36,000 to any third-party $28,000 the total gift to A listed in Part 1 of Schedule A for
donee, 2024
• The only gifts made by the other spouse (the consenting
spouse) were gifts of not more than $18,000 to third-party
donees other than those to whom the donor spouse made In 2025, D gives a gift of $20,000 cash to B and no other gifts.
gifts, and On D’s Form 709, D reports in Part 1 of Schedule A the $20,000
• All of the gifts by both spouses were of present interests. gift to B and an $18,000 gift to A (the one-fifth portion of the 2024
gift that is treated as made in 2025). In column (e) of Part 1
(Schedule A), D lists “2025” as the date of the gift.

8 Instructions for Form 709 (2024)

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D makes no gifts in 2026, 2027, or 2028. D is not required to married, even if the gift's value will be less than $18,000 after it is
file Form 709 in any of those years to report the one-fifth portion split in column (h) of Part 1, 2, or 3 of Schedule A.
of the QTP gift because D is not otherwise required to file Form
Gifts made by spouse. If you elected gift splitting and your
709.
spouse made gifts, list those gifts in the space below “Gifts made
You make the election by checking the box on line B at the top by spouse” in Part 1, 2, or 3. Report these gifts in the same way
of Schedule A. The election must be made for the calendar year you report gifts you made.
in which the contribution is made. Also attach an explanation that
includes the following. Gifts to Your Spouse
• The total amount contributed per individual beneficiary. Except for the gifts described below, you do not need to enter
• The amount for which the election is being made. any of your gifts to your spouse on Schedule A.
• The name of the individual for whom the contribution was
Terminable interests. Terminable interests are defined in the
made.
instructions for Part 4, line 4. If all the terminable interests you
If you are electing gift splitting, apply the gift-splitting rules gave to your spouse qualify as life estates with power of
before applying the QTP rules. Each spouse would then decide appointment (defined under Life estate with power of
individually whether to make this QTP election. appointment, later), you do not need to enter any of them on
Schedule A.
Contributions to QTPs do not qualify for the education
However, if you gave your spouse any terminable interest that
! exclusion. does not qualify as a life estate with power of appointment, you
CAUTION
must report on Schedule A all gifts of terminable interests you
How To Complete Parts 1, 2, and 3 made to your spouse during the year.
After you determine which gifts you made in 2024 that are Charitable remainder trusts. If you make a gift to a charitable
subject to the gift tax, list them on Schedule A. You must divide remainder trust and your spouse is the only noncharitable
these gifts between: beneficiary (other than yourself), the interest you gave to your
spouse is not considered a terminable interest and, therefore,
1. Part 1—those subject only to the gift tax (gifts made to should not be shown on Schedule A. See section 2523(g)(1).
nonskip persons—see Part 1—Gifts Subject Only to Gift For definitions and rules concerning these trusts, see section
Tax, later), 2056(b)(8)(B).
2. Part 2—those subject to both the gift and GST taxes (gifts Future interest. Generally, you should not report a gift of a
made to skip persons—see Gifts Subject to Both Gift and future interest to your spouse unless the future interest is also a
GST Taxes and Part 2—Direct Skips, later), and terminable interest that is required to be reported as described
3. Part 3—those subject only to the gift tax at this time but earlier. However, if you gave a gift of a future interest to your
which could later be subject to GST tax (gifts that are spouse and you are required to report the gift on Form 709
indirect skips—see Part 3—Indirect Skips and Other because you gave the present interest to a donee other than
Transfers in Trust, later). your spouse, then you should enter the entire gift, including the
future interest given to your spouse, on Schedule A. You should
If you need more space, attach a separate sheet using the use the rules under Gifts Subject to Both Gift and GST Taxes,
same format as Schedule A. later, to determine whether to enter the gift on Schedule A, Part
Use the following guidelines when entering gifts on 1, 2, or 3.
TIP Schedule A. Spouses who are not U.S. citizens. If your spouse is not a
U.S. citizen and you gave your spouse a gift of a future interest,
• Enter a gift only once—in Part 1, Part 2, or Part 3. you must report on Schedule A all gifts to your spouse for the
• Do not enter any gift or part of a gift that qualified for the year. If all gifts to your spouse were present interests, do not
political organization, educational, or medical exclusion. report on Schedule A any gifts to your spouse if the total of such
• Enter gifts under “Gifts made by spouse” only if you have gifts for the year does not exceed $185,000 and all gifts in
chosen to split gifts with your spouse and your spouse is excess of $18,000 would qualify for a marital deduction if your
required to file a Form 709 (see Part III Spouse's Consent on spouse were a U.S. citizen (see the instructions for Schedule A,
Gifts to Third Parties, earlier). Part 4, line 4). If the gifts exceed $185,000, you must report all of
• In column (g), enter the full value of the gift (including those the gifts even though some may be excluded.
made by your spouse, if applicable). If you have chosen to
split gifts, that one-half portion of the gift is entered in Gifts Subject to Both Gift and GST
column (h).
Taxes

Gifts to Donees Other Than Your Spouse Definitions
You must always enter all gifts of future interests that you made Direct skip. The GST tax you must report on Form 709 is that
during the calendar year regardless of their value. imposed only on inter vivos direct skips. An inter vivos direct skip
Gift splitting not elected. If the total gifts of present interests is a transfer that is:
to any donee are more than $18,000 in the calendar year, then • Subject to the gift tax,
you must enter all such gifts that you made during the year to or • Of an interest in property, and
on behalf of that donee, including those gifts that will be • Made to a skip person.
excluded under the annual exclusion. If the total is $18,000 or All three requirements must be met before the gift is subject to
less, you need not enter on Schedule A any gifts (except gifts of the GST tax.
future interests) that you made to that donee. Enter these gifts in A gift is “subject to the gift tax” if you are required to list it on
the top half of Part 1, 2, or 3, as applicable. Schedule A of Form 709. However, if you make a nontaxable gift
Gift splitting elected. Enter on Schedule A the entire value of (which is a direct skip) to a trust for the benefit of an individual,
every gift you made during the calendar year while you were this transfer is subject to the GST tax unless:

Instructions for Form 709 (2024) 9

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1. During the lifetime of the beneficiary, no corpus or income 4. A relationship by adoption or half-blood is treated as a
may be distributed to anyone other than the beneficiary; and relationship by whole-blood.
2. If the beneficiary dies before the termination of the trust, the A person who is not assigned to a generation according to
assets of the trust will be included in the gross estate of the (1), (2), (3), or (4) above is assigned to a generation based on
beneficiary. the person’s birth date as follows.
Note. If the property transferred in the direct skip would have 1. A person who was born not more than 12 / years after the 1 2
been includible in the donor's estate if the donor died donor is in the donor's generation.
immediately after the transfer, see Transfers Subject to an Estate 2. A person born more than 12 / years, but not more than 1 2
Tax Inclusion Period (ETIP), earlier. 37 / years, after the donor is in the first generation younger 1 2
To determine if a gift “is of an interest in property” and “is than the donor.
made to a skip person,” you must first determine if the donee is a 3. Similar rules apply for a new generation every 25 years.
“natural person” or a “trust,” as defined below.
Trust. For purposes of the GST tax, a trust includes not only an If more than one of the rules for assigning generations apply
ordinary trust, but also any other arrangement (other than an to a donee, that donee is generally assigned to the youngest of
estate) that although not explicitly a trust, has substantially the the generations that would apply.
same effect as a trust. For example, a trust includes life estates If an estate, trust, partnership, corporation, or other entity
with remainders, terms for years, and insurance and annuity (other than governmental entities and certain charitable
contracts. A transfer of property that is conditional on the organizations and trusts, described in sections 511(a)(2) and
occurrence of an event is a transfer in trust. 511(b)(2), as discussed later) is a donee, then each person who
Interest in property. If a gift is made to a natural person, it is indirectly receives the gift through the entity is treated as a
always considered a gift of an interest in property for purposes of donee and is assigned to a generation as explained in the above
the GST tax. rules.
If a gift is made to a trust, a natural person will have an Charitable organizations and trusts, described in sections
interest in the property transferred to the trust if that person 511(a)(2) and 511(b)(2), and governmental entities are assigned
either has a present right to receive income or corpus from the to the donor's generation. Transfers to such organizations are
trust (such as an income interest for life) or is a permissible therefore not subject to the GST tax. These gifts should always
current recipient of income or corpus from the trust (for example, be listed in Part 1 of Schedule A.
possesses a general power of appointment). Generation assignments under Notice 2017-15. Notice
Skip person. A donee, who is a natural person, is a skip person 2017-15 permits a taxpayer to reduce the GST exemption
if that donee is assigned to a generation that is two or more allocated to transfers that were made to or for the benefit of
generations below the generation assignment of the donor. See transferees whose generation assignment is changed as a result
Determining the Generation of a Donee, later. of the Windsor decision. A taxpayer’s GST exemption that was
allocated to a transfer to a transferee (or a trust for the sole
A donee that is a trust is a skip person if all the interests in the
benefit of such transferee) whose generation assignment should
property transferred to the trust (as defined above) are held by
have been determined on the basis of a familial relationship as
skip persons.
the result of the Windsor decision, and are nonskip persons, is
A trust will also be a skip person if there are no interests in the deemed void. For additional information, go to IRS.gov/
property transferred to the trust held by any person, and future Businesses/Small-Businesses-Self-Employed/Estate-and-Gift-
distributions or terminations from the trust can be made only to Taxes.
skip persons.
Nonskip person. A nonskip person is any donee who is not a Charitable Remainder Trusts
skip person. Gifts in the form of charitable remainder annuity trusts, charitable
remainder unitrusts, and pooled income funds are not transfers
Determining the Generation of a Donee to skip persons and therefore are not direct skips. You should
Generally, a generation is determined along family lines as always list these gifts in Part 1 of Schedule A even if all of the life
follows. beneficiaries are skip persons.

1. If the donee is a lineal descendant of a grandparent of the Generation Assignment Where Intervening
donor (for example, the donor's cousin, niece, nephew, Parent Is Deceased
etc.), the number of generations between the donor and the
descendant (donee) is determined by subtracting the If you made a gift to your grandchild and at the time you made
number of generations between the grandparent and the the gift, the grandchild's parent (who is your or your spouse's or
donor from the number of generations between the your former spouse's child) is deceased, then for purposes of
grandparent and the descendant (donee). generation assignment, your grandchild is considered to be your
child rather than your grandchild. Your grandchild's children will
2. If the donee is a lineal descendant of a grandparent of a be treated as your grandchildren rather than your
spouse (or former spouse) of the donor, the number of great-grandchildren.
generations between the donor and the descendant
(donee) is determined by subtracting the number of This rule is also applied to your lineal descendants below the
generations between the grandparent and the spouse (or level of grandchild. For example, if your grandchild is deceased,
former spouse) from the number of generations between your great-grandchildren who are lineal descendants of the
the grandparent and the descendant (donee). deceased grandchild are considered your grandchildren for
purposes of the GST tax.
3. A person who at any time was married to a person
described in (1) or (2) above is assigned to the generation This special rule may also apply in other cases of the death of
of that person. A person who at any time was married to the a parent of the transferee. If property is transferred to a
donor is assigned to the donor's generation. descendant of a parent of the transferor and that person's parent
(who is a lineal descendant of the parent of the transferor) is

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deceased at the time the transfer is subject to gift or estate tax, Part 1—Gifts Subject Only to Gift Tax
then for purposes of generation assignment, the individual is List in Part 1 gifts subject only to the gift tax. Generally, all of the
treated as a member of the generation that is one generation gifts you made to your spouse (that are required to be listed, as
below the lower of: described earlier), to your children, and to charitable
• The transferor's generation, or organizations are not subject to the GST tax and should
• The generation assignment of the youngest living ancestor therefore be listed only in Part 1.
of the individual who is also a descendant of the parent of
the transferor. Group the gifts in four categories.
The same rules apply to the generation assignment of any • Gifts made to your spouse.
descendant of the individual. • Gifts made to third parties that are to be split with your
spouse.
This rule does not apply to a transfer to an individual who is • Charitable gifts (if you are not splitting gifts with your
not a lineal descendant of the transferor if the transferor at the spouse).
time of the transfer has any living lineal descendants. • Other gifts.
If any transfer of property to a trust would have been a direct If a transfer results in gifts to two or more individuals (such as a
skip except for this generation assignment rule, then the rule also life estate to one with remainder to the other), list the gift to each
applies to transfers from the trust attributable to such property. separately.
Ninety-day rule. For assigning individuals to generations for Number and describe all gifts (including charitable, public,
purposes of the GST tax, any individual who dies no later than and similar gifts) in the columns provided in Schedule A.
90 days after a transfer occurring by reason of the death of the
transferor is treated as having predeceased the transferor. The
90-day rule applies to transfers occurring on or after July 18, Columns (b) through (d)
2005. See Regulations section 26.2651-1(a)(2)(iii) for more
information. Describe each gift in enough detail so that the property can be
easily identified, as explained below.
Examples For real estate, give:
• A legal description of each parcel;
The GST rules can be illustrated by the following examples. • The street number, name, and area if the property is located
Example 1. You give your house to your daughter with the in a city; and
remainder then passing to your daughter’s children. This gift is • A short statement of any improvements made to the
made to a “trust” even though there is no explicit trust instrument. property.
The interest in the property transferred (the present right to use
the house) is transferred to a nonskip person (your daughter). For bonds, give:
Therefore, the trust is not a skip person because there is an • The number of bonds transferred;
interest in the transferred property that is held by a nonskip • The principal amount of each bond;
person, and the gift is not a direct skip. The transfer is an indirect • Name of obligor;
skip, however, because on the death of the daughter, a • Date of maturity;
termination of your daughter’s interest in the trust will occur that • Rate of interest;
may be subject to the GST tax. See the instructions for Part • Date or dates when interest is payable;
3—Indirect Skips and Other Transfers in Trust, later, for a • Series number, if there is more than one issue;
discussion of how to allocate GST exemption to such a trust. • Exchanges where listed or, if unlisted, give the location of
the principal business office of the corporation; and
Example 2. You give $100,000 to your grandchild. This gift is • Committee on Uniform Securities Identification Procedures
a direct skip that is not made in trust. You should list it in Part 2 of (CUSIP) number. The CUSIP number is a nine-digit number
Schedule A. assigned by the American Banking Association to traded
Example 3. You establish a trust that is required to securities.
accumulate income for 10 years and then pay its income to your
grandchildren for their lives and upon their deaths distribute the For stocks:
corpus to their children. Because the trust has no current • Give number of shares;
beneficiaries, there are no present interests in the property • State whether common or preferred;
transferred to the trust. All of the persons to whom the trust can • If preferred, give the issue, par value, quotation at which
make future distributions (including distributions upon the returned, and exact name of corporation;
termination of interests in property held in trust) are skip persons • If unlisted on a principal exchange, give the location of the
(that is, your grandchildren and great-grandchildren). Therefore, principal business office of the corporation, the state in
the trust itself is a skip person and you should list the gift in Part which incorporated, and the date of incorporation;
2 of Schedule A. • If listed, give principal exchange; and
Example 4. You establish a trust that pays all of its income to • CUSIP number.
your grandchildren for 10 years. At the end of 10 years, the For interests in property based on the length of a person's life,
corpus is to be distributed to your children. Because for this give the date of birth of the person. If you transfer any interest in
purpose interests in trusts are defined only as present interests, a closely held entity, provide the EIN of the entity.
all of the interests in this trust are held by skip persons (the
children's interests are future interests). Therefore, the trust is a For life insurance policies, give the name of the insurer and
skip person and you should list the entire amount you transferred the policy number.
to the trust in Part 2 of Schedule A even though some of the
trust's ultimate beneficiaries are nonskip persons. Clearly identify in the description column which gifts create
the opening of an ETIP as described under Transfers Subject to
an Estate Tax Inclusion Period (ETIP), earlier. Describe the
interest that is creating the ETIP. An allocation of GST exemption
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to property subject to an ETIP that is made prior to the close of Sections 2701 and 2702 provide special valuation rules to
the ETIP becomes effective no earlier than the date of the close determine the amount of the gift when a donor transfers an
of the ETIP. See Schedule D. Computation of GST Tax, later. equity interest in a corporation or partnership (section 2701) or
makes a gift in trust (section 2702). The rules only apply if,
Column (e). Donor's Adjusted Basis of Gifts immediately after the transfer, the donor (or an applicable family
member) holds an applicable retained interest in the corporation
or partnership, or retains an interest in the trust. For details, see
Show the basis you would use for income tax purposes if the gift sections 2701 and 2702, and their regulations.
were sold or exchanged. Generally, this means cost plus
improvements, less applicable depreciation, amortization, and
depletion. Column (h). Split Gifts
For more information on adjusted basis, see Pub. 551, Basis Enter an amount in this column only if you have chosen to split
of Assets. gifts with your spouse.

Split Gifts—Gifts Made by Spouses
Columns (f) and (g). Date and Value of Gift
If you elected to split gifts with your spouse and your spouse has
given a gift(s) that is being split with you, enter in this area of Part
The value of a gift is the fair market value (FMV) of the property 1 information on the gift(s) made by your spouse. If only you
on the date the gift is made (valuation date). The FMV is the made gifts and you are splitting them with your spouse, do not
price at which the property would change hands between a make an entry in this area.
willing buyer and a willing seller, when neither is forced to buy or
to sell, and when both have reasonable knowledge of all relevant Generally, if you elect to split your gifts, you must split all gifts
facts. FMV may not be determined by a forced sale price, nor by made by you and your spouse to third-party donees. The only
the sale price of the item in a market other than that in which the exception is if you gave your spouse a general power of
item is most commonly sold to the public. The location of the appointment over a gift you made.
item must be taken into account whenever appropriate.
Supplemental Documents
The FMV of a stock or bond (whether listed or unlisted) is the To support the value of your gifts, you must provide information
mean between the highest and lowest selling prices quoted on showing how it was determined.
the valuation date. If only the closing selling prices are available,
then the FMV is the mean between the quoted closing selling For stock of close corporations or inactive stock, attach
price on the valuation date and on the trading day before the balance sheets, particularly the one nearest the date of the gift,
valuation date. If there were no sales on the valuation date, figure and statements of net earnings or operating results and
the FMV as follows. dividends paid for each of the 5 preceding years.
1. Find the mean between the highest and lowest selling For each life insurance policy, attach Form 712, Life
prices on the nearest trading date before and the nearest Insurance Statement.
trading date after the valuation date. Both trading dates Note for single premium or paid-up policies. In certain
must be reasonably close to the valuation date. situations, for example, where the surrender value of the policy
2. Prorate the difference between mean prices to the valuation exceeds its replacement cost, the true economic value of the
date. policy will be greater than the amount shown on line 59 of Form
712. In these situations, report the full economic value of the
3. Add or subtract (whichever applies) the prorated part of the policy on Schedule A. See Rev. Rul. 78-137, 1978-1 C.B. 280,
difference to or from the mean price figured for the nearest for details.
trading date before the actual valuation date.
If the gift was made by means of a trust, attach a certified or
If no actual sales were made reasonably close to the verified copy of the trust instrument to the return on which you
valuation date, make the same computation using the mean report your first transfer to the trust. However, to report
between the bona fide bid and the asked prices instead of sales subsequent transfers to the trust, you may attach a brief
prices. If actual sales prices or bona fide bid and asked prices description of the terms of the trust or a copy of the trust
are available within a reasonable period of time before the instrument.
valuation date but not after the valuation date, or vice versa, use Also attach any appraisal used to determine the value of real
the mean between the highest and lowest sales prices or bid and estate or other property.
asked prices as the FMV.
If you do not attach this information, Schedule A must include
Stock of close corporations or inactive stock must be valued a full explanation of how value was determined.
on the basis of net worth, earnings, earning and dividend
capacity, and other relevant factors. Part 2—Direct Skips
List in Part 2 only those gifts that are currently subject to both the
Generally, the best indication of the value of real property is gift and GST taxes. You must list the gifts in Part 2 in the
the price paid for the property in an arm's-length transaction on chronological order that you made them. Number, describe, and
or before the valuation date. If there has been no such value the gifts as described in the instructions for Part 1.
transaction, use the comparable sales method. In comparing
similar properties, consider differences in the date of the sale, If you made a transfer to a trust that was a direct skip, list the
and the size, condition, and location of the properties, and make entire gift as one line entry in Part 2.
all appropriate adjustments.
Column (j). Section 2632(b) Election
The value of all annuities, life estates, terms for years,
remainders, or reversions is generally the present value on the If you elect under section 2632(b)(3) to not have the automatic
date of the gift. allocation rules of section 2632(b) apply to a transfer, enter a

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check in column (j) next to the transfer. You must also attach a If you are reporting a transfer to a trust for which election 2 or
statement to Form 709 clearly describing the transaction and the 3 was made on a previously filed return, do not make an entry in
extent to which the automatic allocation is not to apply. Reporting column (n) for that transfer and do not attach a statement.
a direct skip on a timely filed Form 709 and paying the GST tax
Attachment. Attach a statement to Form 709 that describes the
on the transfer will qualify as such a statement.
election you are making and clearly identifies the trusts and/or
How to report GSTs after the close of an ETIP. If you are transfers to which the election applies.
reporting a GST that was subject to an ETIP (provided the ETIP
closed as a result of something other than the death of the Split Gifts—Gifts Made by Spouse
transferor; see Form 706), do not include the transfer subject to See this heading under Part 1.
an ETIP on Schedule A. Rather, report the transfer subject to an
ETIP on Schedule D. See Schedule D, Part Part 4—Taxable Gift Reconciliation
1—Generation-Skipping Transfers, later. Report all other gifts
made during the year on Schedule A as you normally would. Line 1

Split Gifts—Gifts Made by Spouse Enter only gifts of the donor. If gift splitting has been elected,
See this heading under Part 1. enter only the value of the gift that is attributable to the spouse
that is filing the return.
Part 3—Indirect Skips and Other Transfers in
Trust Line 2
Some gifts made to trusts are subject only to gift tax at the time
of the transfer but may later be subject to GST tax. The GST tax Enter the total annual exclusions you are claiming for the gifts
could apply either at the time of a distribution from the trust, at listed on Schedule A. See Annual Exclusion, earlier. If you split a
the termination of the trust, or both. gift with your spouse, the annual exclusion you claim against that
gift may not be more than the smaller of your half of the gift or
Section 2632(c) defines indirect skips and applies special $18,000.
rules to the allocation of GST exemption to such transfers. In
general, an indirect skip is a transfer of property that is subject to Deductions
gift tax (other than a direct skip) and is made to a GST trust. A
GST trust is a trust that could have a GST with respect to the Line 4. Marital Deduction
transferor, unless the trust provides for certain distributions of
trust corpus to nonskip persons. See section 2632(c)(3)(B) for Enter all of the gifts to your spouse that you listed on Schedule A
details. and for which you are claiming a marital deduction. Enter the
total value of items on Parts 1 and 3 of Schedule A for which the
List in Part 3 those gifts that are indirect skips as defined in box in column (l) is checked. Do not enter any gift that you did
section 2632(c) or may later be subject to GST tax. This includes not include on Schedule A.
indirect skips for which election 2, described below, will be made Do not enter on line 4 any gifts to your spouse who was
in the current year or has been made in a previous year. You TIP not a U.S. citizen at the time of the gift.
must list the gifts in Part 3 in the chronological order that you
made them.
You may deduct all gifts of nonterminable interests made
Column (n). Section 2632(c) Election during the year that you entered on Schedule A regardless of
amount, and certain gifts of terminable interests as outlined
Section 2632(c) provides for the automatic allocation of the below.
donor's unused GST exemption to indirect skips. This section
also sets forth three different elections you may make regarding Terminable interests. Generally, you cannot take the marital
the allocation of exemption. deduction if the gift to your spouse is a terminable interest. In
most instances, a terminable interest is nondeductible if
Election 1. You may elect not to have the automatic someone other than the donee spouse will have an interest in
allocation rules apply to the current transfer made to a the property following the termination of the donee spouse's
particular trust. interest. Some examples of terminable interests are:
Election 2. You may elect not to have the automatic rules • A life estate,
apply to both the current transfer and any and all future • An estate for a specified number of years, or
transfers made to a particular trust. • Any other property interest that after a period of time will
Election 3. You may elect to treat any trust as a GST trust for terminate or fail.
purposes of the automatic allocation rules.
If you transfer an interest to your spouse as sole joint tenant
See section 2632(c)(5) for details. with yourself or as a tenant by the entirety, the interest is not
When to make an election. Election 1 is timely made if it is considered a terminable interest just because the tenancy may
made on a timely filed gift tax return for the year the transfer was be severed.
made or was deemed to have been made. Life estate with power of appointment. You may deduct,
Elections 2 and 3 may be made on a timely filed gift tax return without an election, a gift of a terminable interest if all four
for the year for which the election is to become effective. requirements below are met.
1. Your spouse is entitled for life to all of the income from the
To make one of these elections, check column (n) next to the entire interest.
transfer to which the election applies. You must also attach an
explanation as described below. If you are making election 2 or 3 2. The income is paid yearly or more often.
on a return on which the transfer is not reported, simply attach 3. Your spouse has the unlimited power, while alive or by will,
the statement described below. to appoint the entire interest in all circumstances.

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4. No part of the entire interest is subject to another person's Line 10. GST Tax
power of appointment (except to appoint it to your spouse).
If either the right to income or the power of appointment given If GST tax is due on any direct skips reported on this return, the
to your spouse pertains only to a specific portion of a property amount of that GST tax is also considered a gift and must be
interest, the marital deduction is allowed only to the extent that added to the value of the direct skip reported on this return.
the rights of your spouse meet all four of the above conditions. If you entered gifts on Part 2, or if you and your spouse
For example, if your spouse is to receive all of the income from elected gift splitting and your spouse made gifts subject to the
the entire interest, but only has a power to appoint one-half of the GST tax that you are required to show on your Form 709,
entire interest, then only one-half qualifies for the marital complete Schedule D, and enter on line 10 the total from
deduction. Schedule D, Part 3, column (g). Otherwise, enter zero on line 10.
A partial interest in property is treated as a specific portion of
an entire interest only if the rights of your spouse to the income
and to the power are a fractional or percentile share of the entire Line 12. Election Out of QTIP Treatment of
property interest. This means that the interest or share will reflect Annuities
any increase or decrease in the value of the entire property
interest. If the spouse is entitled to receive a specified sum of Section 2523(f)(6) creates an automatic QTIP election for gifts of
income annually, the capital amount that would produce such a joint and survivor annuities where the spouses are the only
sum will be considered the specific portion from which the possible recipients of the annuity prior to the death of the last
spouse is entitled to receive the income. surviving spouse.
Election to deduct qualified terminable interest property The donor spouse can elect out of QTIP treatment, however,
(QTIP). You may elect to deduct a gift of a terminable interest if by checking the box on line 12 and entering the item number
it meets requirements (1), (2), and (4) earlier, even though it from Schedule A for the annuities for which you are making the
does not meet requirement (3). election. Any annuities entered on line 12 cannot also be entered
You make this election simply by listing the QTIP on on line 4 of Schedule A, Part 4. Any such annuities that are not
Schedule A and deducting its value from Schedule A, Part 4, listed on line 12 must be entered on line 4 of Part 4, Schedule A.
line 4. You are presumed to have made the election for all If there is more than one such joint and survivor annuity, you are
qualified property that you both list and deduct on Schedule A. not required to make the election for all of them. Once made, the
You may not make the election on a late-filed Form 709. election is irrevocable.

Line 5 Schedule B. Gifts From Prior Periods
If you did not file gift tax returns for previous periods, check the
Enter the amount of the annual exclusions that were claimed for “No” box on page 1 of Form 709, line 11a, of Part I—General
the gifts listed on line 4. Information. If you filed gift tax returns for previous periods,
check the “Yes” box on line 11a and complete Schedule B by
Line 7. Charitable Deduction listing the years or quarters in chronological order as described
below. If you need more space, attach a separate sheet using
You may deduct from the total gifts made during the calendar the same format as Schedule B.
year all gifts you gave to or for the use of:
• The United States, a state or political subdivision of a state, Complete Schedule A before beginning Schedule B.
or the District of Columbia for exclusively public purposes; CAUTION!
• Any corporation, trust, community chest, fund, or foundation
organized and operated only for religious, charitable,
scientific, literary, or educational purposes, or to prevent Column (a)
cruelty to children or animals, or to foster national or If you filed returns for gifts made before 1971 or after 1981, show
international amateur sports competition (if none of its the calendar years in column (a). If you filed returns for gifts
activities involve providing athletic equipment unless it is a made after 1970 and before 1982, show the calendar quarters.
qualified amateur sports organization), as long as no part of
the earnings benefits any one person, no substantial Column (b)
propaganda is produced, and no lobbying or campaigning In column (b), identify the IRS office where you filed the returns.
for any candidate for public office is done; If you have changed your name, be sure to list any other names
• A fraternal society, order, or association operating under a under which the returns were filed. If there was any other
lodge system, if the transferred property is to be used only variation in the names under which you filed, such as the use of
for religious, charitable, scientific, literary, or educational full given names instead of initials, please explain.
purposes, including the encouragement of art and the
prevention of cruelty to children or animals; or Column (c)
• Any war veterans' organization organized in the United To determine the amount of applicable credit (formerly unified
States (or any of its territories), or any of its auxiliary credit) used for gifts made after 1976, use the Worksheet for
departments or local chapters or posts, as long as no part of Schedule B, Column (c) (Credit Allowable for Prior Periods),
any of the earnings benefits any one person. unless your prior gifts total $500,000 or less.
On line 7, show your total charitable, public, or similar gifts Prior gifts totaling $500,000 or less. In column (c), enter
(minus annual exclusions allowed). Enter the total value of items the amount of applicable credit actually applied in the prior
on Parts 1 and 3 of Schedule A for which the box in column (k) is period.
checked. Prior gifts totaling over $500,000. See Redetermining the
Applicable Credit, later.

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Column (d)                                                        Note. Amounts shown in column (e) should reflect all taxable 
In column (d), enter the amount of specific exemption claimed for gifts, even if no gift tax was paid due to the applicable (formerly 
gifts made in periods ending before January 1, 1977.              unified) credit.

Column (e)                                                        Redetermining the Applicable Credit
In column (e), show the correct amount (the amount finally        To redetermine the applicable credit for prior gifts in excess of 
determined) of the taxable gifts for each earlier period.         $500,000, use the Worksheet for Schedule B, Column (c) (Credit 
                                                                  Allowable for Prior Periods).
See Regulations section 25.2504-2 for rules regarding the 
final determination of the value of a gift.

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Instructions for Worksheet for Schedule B, Column (c) (Credit Allowable for Prior Periods)
Beginning with the earliest year after 1976 in which gifts using a credit amount were made, determine the credit amount (at current rates) for each
quarter/year as follows.
Column
A Enter the quarter/year of the prior gift(s). Pre-1977 gifts will be on the first row.
Period
B Enter the amount of all taxable gifts for the year in column A. The total of all pre-1977 gifts should
Taxable Gifts for Current Period be combined in the first row.
C Enter the amount from column D of the previous row.
Taxable Gifts for Prior Periods
D Enter the sum of columns B and C from the current row.
Cumulative Taxable Gifts Including Current Period
E Enter the amount from column F of the previous row.
Tax on Gifts for Prior Periods
F Enter the tax based on the amount in column D of the current row using the Table for Computing
Tax on Cumulative Gifts Including Current Period Gift Tax.
G Subtract the amount in column E from the amount in column F of the current row and enter here.
Tax on Gifts for Current Period
H Enter the sum of (a) total DSUE amount (if any) received from the estate of the donor's last
Used DSUE Amount From Predeceased Spouse(s) and deceased spouse and used by the donor in prior periods and the current period, and (b)
Restored Exclusion Amount Restored Exclusion Amount (if any). DSUE may not be applied to gifts made before the DSUE
arose. Restored Exclusion Amount may not be applied to gifts made before the taxpayer restored
the exclusion expended on a taxable gift to the taxpayer's same-sex spouse. The Restored
Exclusion Amount is applied in the first year that the taxpayer restores the exclusion and every
subsequent year.
I Enter the exclusion amount corresponding with the year listed in column A of the current row.
Basic Exclusion Amount for Year of Gift (See Table of Basic Exclusion and Credit Amounts.)
J Add the amounts in columns H and I of the current row and enter here.
Applicable Exclusion Amount
K Using the Table for Computing Gift Tax, determine the credit corresponding to the amount in
Applicable Credit Amount (Based on Amount in Column J) column J of the current row and enter here. For each row in column K, subtract 20% of any
amount allowed as a specific exemption for gifts made after September 8, 1976, and before
January 1, 1977.
L Enter the total of the amounts in columns L and N of the previous row.
Applicable Credit Amount Used in Prior Periods
M Subtract the amount in column L from the amount in column K of the current row and enter here.
Available Credit in Current Period
N Enter the lesser of column G or column M of the current row.
Credit Allowable
Repeat this process for each prior year with taxable gifts. Do not enter less than zero.

Worksheet for Schedule B, Column (c) (Credit
Allowable for Prior Periods)
Prior Years Credit Recalculation (for Form 709, Schedule B, Column (c)
(Keep for your records.)
A B C D E F G H I J K L M N
Period Taxable Taxable Cumulative Tax on Tax on Tax on DSUE From Basic Applicable Applicable Applicable Available Credit
Gifts for Gifts for Taxable Gifts Gifts for Cumulative Gifts for Pre- Exclusion Exclusion Credit Credit Credit in Allowable
Current Prior Including Prior Gifts Current deceased for the Year Amount Amount Amount Current (lesser of
Period Periods1 Current Periods Including Period Spouse(s) of Gift4 (Col. H + Based on Used in Prior Period Col. G or
Period (Col. C)2, 3 Current (Col. F – and Col. I) Column J3, 5 Periods3, 6 (Col. K – Col. Col. M)
(Col. B + Col. Period (Col. Col. E) Restored L)
C) D)3 Exclusion
Amount
Pre-1977
YYYY
YYYY
YYYY
Total Applicable Credit Used in Prior Periods (Enter the Total of Column N on Schedule B, Line 1, Column C) :
1 Column C: Enter amount from column D of the previous row.
2 Column E: Compute the tax on the amount in column C or enter amount from column F of the previous row.
3 To compute tax or credit amount, see Table for Computing Gift Tax.
4 For years prior to 2010, the basic exclusion amount equals the applicable exclusion amount.
5 For each row in column K, subtract 20% of any amount allowed as a specific exemption for gifts made after September 8, 1976, and before January 1, 1977.
6 Enter the total of columns L and N of the previous row.

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                                                           Example 1. Prior Years Credit Recalculation (for Form 709, Schedule B, Column (c))
                                       (Three post-1976 years involved. All have the same maximum credit available. Tentative tax exceeds available credit.)
 A        B         C                         D            E            F                    G          H          I           J                          K        L             M              N
 Period   Taxable   Taxable                 Cumulative     Tax on       Tax on               Tax on    DSUE From   Basic       Applicable Applicable               Applicable    Available      Credit 
          Gifts for Gifts for  Taxable Gifts               Gifts for    Cumulative           Gifts for  Pre-       Exclusion   Exclusion                  Credit   Credit        Credit in      Allowable
          Current   Prior                   Including      Prior        Gifts                Current   Deceased    for Year of Amount                     Amount   Amount        Current        (lesser of 
          Period    Periods1                Current        Periods      Including            Period    Spouse(s)   the Gift4   (Col. H +                  Based on Used in Prior Period         Col. G or 
                                            Period         (Col. C)2, 3 Current              (Col. F –  and                    Col. I)    Column J3, 5             Periods3, 6   (Col. K – Col. Col. M)
                                            (Col. B + Col.              Period (Col.         Col. E)    Restored                                                                 L)
                                              C)                        D)3                            Exclusion 
                                                                                                        Amount
 Pre-1977
 2004     800,000                      0      800,000                0  267,800              267,800             0 1,000,000   1,000,000                  345,800             0  345,800        267,800
 2007     300,000   800,000                   1,100,000    267,800      385,800              118,000             0 1,000,000   1,000,000                  345,800  267,800       78,000         78,000
 2009     200,000   1,100,000                 1,300,000    385,800      465,800              80,000              0 1,000,000   1,000,000                  345,800  345,800                 0               0
                                                                        Total Applicable Credit Used in Prior Periods (Enter the Total of Column N on Schedule B, Line 1, Column C) :           345,800
1 Column C: Enter amount from column D of the previous row.
2 Column E: Compute the tax on the amount in column C or enter amount from column F of the previous row.
3 To compute tax or credit amount, see Table for Computing Gift Tax.
4 For years prior to 2010, the basic exclusion amount equals the applicable exclusion amount.
5 For each row in column K, subtract 20% of any amount allowed as a specific exemption for gifts made after September 8, 1976, and before January 1, 1977.
6 Enter the total of columns L and N of the previous row.

                                                           Example 2. Prior Years Credit Recalculation (for Form 709, Schedule B, Column (c)) 
                    (Pre-1977 gifts plus 3 post-1976 years: Earlier years' gifts exceed credit then available. Last gift made after credit increased.)
 A        B         C                         D            E            F                    G          H          I           J                          K        L             M              N
 Period   Taxable   Taxable                 Cumulative     Tax on       Tax on               Tax on    DSUE From   Basic       Applicable Applicable               Applicable    Available      Credit 
          Gifts for Gifts for  Taxable Gifts               Gifts for    Cumulative           Gifts for  Pre-       Exclusion   Exclusion                  Credit   Credit        Credit in      Allowable
          Current   Prior                   Including      Prior        Gifts                Current   Deceased    for Year of Amount                     Amount   Amount        Current        (lesser of 
          Period    Periods1                Current        Periods      Including            Period    Spouse(s)   the Gift4   (Col. H +                  Based on Used in Prior Period         Col. G or 
                                            Period         (Col. C)2, 3 Current              (Col. F –  and                    Col. I)    Column J3, 5             Periods3, 6   (Col. K – Col. Col. M)
                                            (Col. B + Col.              Period (Col.         Col. E)    Restored                                                                 L)
                                              C)                        D)3                            Exclusion 
                                                                                                        Amount
 Pre-1977 200,000                             200,000                   54,800
 1987     600,000   200,000                   800,000      54,800       267,800              213,000             0 600,000     600,000                    192,800             0  192,800        192,800
 1999     200,000   800,000                 1,000,000      267,800      345,800              78,000              0 650,000     650,000                    211,300  192,800       18,500         18,500
 2002       100     1,000,000               1,000,100      345,800      345,840                     40           0 1,000,000   1,000,000                  345,800  211,300       134,500               40
                                                                        Total Applicable Credit Used in Prior Periods (Enter the Total of Column N on Schedule B, Line 1, Column C) :           211,340
1 Column C: Enter amount from column D of the previous row.
2 Column E: Compute the tax on the amount in column C or enter amount from column F of the previous row.
3 To compute tax or credit amount, see Table for Computing Gift Tax.
4 For years prior to 2010, the basic exclusion amount equals the applicable exclusion amount.
5 For each row in column K, subtract 20% of any amount allowed as a specific exemption for gifts made after September 8, 1976, and before January 1, 1977.
6 Enter the total of columns L and N of the previous row.

Instructions for Form 709 (2024)                                                                                                                                                                       17

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Example 3. Prior Years Credit Recalculation (for Form 709, Schedule B, Column (c))
($6M gift exceeds the applicable credit, $5M DSUE received prior to subsequent $4M gift in the same year.)
A B C D E F G H I J K L M N
Period Taxable Taxable Cumulative Tax on Tax on Tax on DSUE From Basic Applicable Applicable Applicable Available Credit
Gifts for Gifts for Taxable Gifts Gifts for Cumulative Gifts for Pre- Exclusion Exclusion Credit Credit Credit in Allowable
Current Prior Including Prior Gifts Current Deceased for Year of Amount Amount Amount Current (lesser of
Period Periods1 Current Periods Including Period Spouse(s) the Gift5 (Col. H + Based on Used in Prior Period Col. G or
Period (Col. C)2, 3 Current (Col. F – and Col. I) Column J3, 6 Periods3, 7 (Col. K – Col. Col. M)
(Col. B + Col. Period (Col. Col. E) Restored L)
C) D)3 Exclusion
Amount4
Pre-1977
2011 10,000,000 0 10,000,000 0 3,945,800 3,945,800 4,000,000 5,000,000 9,000,000 3,545,800 0 3,545,800 3,545,800
YYYY
YYYY
Total Applicable Credit Used in Prior Periods (Enter the Total of Column N on Schedule B, Line 1, Column C) : 3,545,800
1 Column C: Enter amount from column D of the previous row.
2 Column E: Compute the tax on the amount in column C or enter amount from column F of the previous row.
3 To compute tax or credit amount, see Table for Computing Gift Tax.
4 DSUE may not be applied to gifts made prior to when it arises. Consequently, the available DSUE for the current period is limited to $4,000,000, the value of gifts made after the DSUE arose.
5 For years prior to 2010, the basic exclusion amount equals the applicable exclusion amount.
6 For each row in column K, subtract 20% of any amount allowed as a specific exemption for gifts made after September 8, 1976, and before January 1, 1977.
7 Enter the total of columns L and N of the previous row.

Example 4. Prior Years Credit Recalculation (for Form 709, Schedule B, Column (c))
(Prior gift exceeds applicable credit, $5M DSUE received prior to subsequent gift.)
A B C D E F G H I J K L M N
Period Taxable Taxable Cumulative Tax on Tax on Tax on DSUE From Basic Applicable Applicable Applicable Available Credit
Gifts for Gifts for Taxable Gifts Gifts for Cumulative Gifts for Pre- Exclusion Exclusion Credit Credit Credit in Allowable
Current Prior Including Prior Gifts Current Deceased for Year of Amount Amount Amount Current (lesser of
Period Periods1 Current Periods Including Period Spouse(s) the Gift4 (Col. H + Based on Used in Prior Period Col. G or
Period (Col. C)2, 3 Current (Col. F – and Col. I) Column J3, 5 Periods3, 6 (Col. K – Col. Col. M)
(Col. B + Col. Period (Col. Col. E) Restored L)
C) D)3 Exclusion
Amount
Pre-1977
2002 4,000,000 0 4,000,000 0 1,545,800 1,545,800 0 1,000,000 1,000,000 345,800 0 345,800 345,800
2011 4,000,000 4,000,000 8,000,000 1,545,800 3,145,800 1,600,000 4,000,000 5,000,000 9,000,000 3,545,800 345,800 3,200,000 1,600,000
YYYY
Total Applicable Credit Used in Prior Periods (Enter the Total of Column N on Schedule B, Line 1, Column C) : 1,945,800
1 Column C: Enter amount from column D of the previous row.
2 Column E: Compute the tax on the amount in column C or enter amount from column F of the previous row.
3 To compute tax or credit amount, see Table for Computing Gift Tax.
4 For years prior to 2010, the basic exclusion amount equals the applicable exclusion amount.
5 For each row in column K, subtract 20% of any amount allowed as a specific exemption for gifts made after September 8, 1976, and before January 1, 1977.
6 Enter the total of columns L and N of the previous row.

18 Instructions for Form 709 (2024)

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Table of Basic Exclusion and Credit Amounts                        Note. A nonresident surviving spouse who is not a citizen of the 
                                                                   United States may not take into account the DSUE amount of a 
(as Recalculated for 2024 Rates)                                   deceased spouse, except to the extent allowed by treaty with the 
                                                                   surviving spouse’s country of citizenship.
         Period               Exclusion Amounts Credit Amounts
                                                                   Last Deceased Spouse Limitation
1977 (Quarters 1 & 2)            $30,000                 $6,000
                                                                   The last deceased spouse is the most recently deceased person 
1977 (Quarters 3 & 4)            $120,667             $30,000      who was married to the surviving spouse at the time of that 
1978                             $134,000             $34,000      person's death. The identity of the last deceased spouse is 
                                                                   determined as of the day a taxable gift is made and is not 
1979                             $147,333             $38,000      impacted by whether the decedent's estate elected portability or 
1980                             $161,563             $42,500      whether the last deceased spouse had any DSUE amount 
1981                             $175,625             $47,000      available. Remarriage also does not affect the designation of the 
                                                                   last deceased spouse and does not prevent the surviving 
1982                             $225,000             $62,800      spouse from applying the DSUE amount to taxable transfers.
1983                             $275,000             $79,300      When a taxable gift is made, the DSUE amount received from 
1984                             $325,000             $96,300      the last deceased spouse is applied before the surviving 
1985                             $400,000             $121,800     spouse's basic exclusion amount. A surviving spouse who has 
                                                                   more than one predeceased spouse is not precluded from using 
1986                             $500,000             $155,800     the DSUE amount of each spouse in succession. A surviving 
1987 through 1997                $600,000             $192,800     spouse may not use the sum of DSUE amounts from multiple 
                                                                   predeceased spouses at one time nor may the DSUE amount of 
1998                             $625,000             $202,050     a predeceased spouse be applied after the death of a 
1999                             $650,000             $211,300     subsequent spouse.
2000 and 2001                    $675,000             $220,550     When a surviving spouse applies the DSUE amount to a 
2002 through 2010                $1,000,000           $345,800     lifetime gift, the IRS may examine any return of a predeceased 
                                                                   spouse whose executor elected portability to verify the allowable 
2011                             $5,000,000           $1,945,800   DSUE amount. The DSUE may be adjusted or eliminated as a 
2012                             $5,120,000           $1,993,800   result of the examination; however, the IRS may make an 
2013                             $5,250,000           $2,045,800   assessment of additional tax on the return of a predeceased 
                                                                   spouse only within the applicable limitations period under 
2014                             $5,340,000           $2,081,800   section 6501.
2015                             $5,430,000           $2,117,800   Restored Exclusion Amount. Prior to the decision of the 
2016                             $5,450,000           $2,125,800   Supreme Court in United States  . Windsorv , 570 U.S. 744, 133 
2017                             $5,490,000           $2,141,800   S. Ct. 2675 (2013), the Defense of Marriage Act (DOMA), Public 
                                                                   Law 104-199 (110 Stat. 2419), required that marriages of 
2018                             $11,180,000          $4,417,800   couples of the same sex should not be treated as being married 
2019                             $11,400,000          $4,505,800   for federal tax purposes. As a result, taxpayers in a same-sex 
                                                                   marriage were not entitled to claim a marital deduction for gifts or 
2020                             $11,580,000          $4,577,800
                                                                   bequests to each other. Those taxpayers were required to use 
2021                             $11,700,000          $4,625,800   their applicable exclusion amount to defray any gift or estate tax 
2022                             $12,060,000          $4,769,800   imposed on the transfer or were required to pay gift or estate 
                                                                   taxes, to the extent the taxpayer's exclusion previously had been 
2023                             $12,920,000          $5,113,800   exhausted.
2024                             $13,610,000          $5,389,800   In Windsor, the Supreme Court declared that DOMA was 
                                                                   unconstitutional. For federal tax purposes, marriages of couples 
Schedule C. Portability of Deceased                                of the same sex are treated the same as marriages of couples of 
                                                                   the opposite sex. The term “spouse” includes an individual 
Spousal Unused Exclusion (DSUE)                                    married to a person of the same sex. However, individuals who 
Amount and Restored Exclusion                                      have entered into a registered domestic partnership, civil union, 
                                                                   or other similar relationship that isn't considered a marriage 
Amount                                                             under state law aren't considered married for federal tax 
Section 303 of the Tax Relief, Unemployment Insurance              purposes.
Reauthorization, and Job Creation Act of 2010 authorized           Under a new procedure, a donor who made a transfer to the 
estates of decedents dying on or after January 1, 2011, to elect   donor's same-sex spouse, which resulted in a reduction of the 
to transfer any unused exclusion to the surviving spouse. The      donor's applicable exclusion amount, can now recalculate the 
amount received by the surviving spouse is called the deceased     remaining applicable exclusion. This procedure is only available 
spousal unused exclusion, or DSUE, amount. If the executor of      to transfers that did not qualify for the marital deduction for 
the decedent's estate elects transfer, or portability, of the DSUE federal gift tax purposes at the time of the transfer, based solely 
amount, the surviving spouse can apply the DSUE amount             on the application of DOMA. If the limitations period has expired, 
received from the estate of the last deceased spouse (defined      the donor may recalculate the remaining applicable exclusion. 
later) against any tax liability arising from subsequent lifetime  However, once the limitations period on assessment of tax has 
gifts and transfers at death.                                      expired, neither the value of the transferred interest nor any 
                                                                   position concerning a legal issue (other than the existence of the 
         Complete Schedule A before beginning Schedule C.
                                                                   marriage) related to the transfer can be changed. Similarly, no 
CAUTION!                                                           credit or refund of the gift taxes paid on the donor's transfer to 
                                                                   the donor's same-sex spouse can be given once the limitations 
                                                                   period on claims for credit or refund has expired.
Instructions for Form 709 (2024)                                                                                                      19

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The first step of the procedure is to determine the amount of spouses, or if the donor is a taxpayer who made a taxable
applicable exclusion that was expended on a taxable gift to a transfer to a same-sex spouse which resulted in a reduction of
same-sex spouse. In any given year, the amount of applicable the taxpayer's available applicable exclusion amount (or both).
exclusion expended on a taxable gift to a same-sex spouse is
equal to the amount of applicable exclusion expended on all Schedule C requests information on all DSUE amounts
taxable gifts multiplied by the ratio of the amount of taxable gifts received from the donor's last deceased spouse and any
to the same-sex spouse over total taxable gifts. The amount of previously deceased spouses. Each line in the chart should
applicable exclusion expended on all taxable gifts is equal to the reflect a different predeceased spouse. Attach proof of each
lesser of the available applicable exclusion or the amount of all portability election reported on Schedule C.
taxable gifts.
Example. In 2011, A made $5 million of taxable gifts. A made Part 1. DSUE Received From the Last Deceased
a $3 million taxable gift to B, same-sex spouse, and a $2 million Spouse
taxable gift to C, another individual. A's marriage to B was
recognized by the state where they got married, but was not In this Part, include information about the DSUE amount from the
recognized by the federal government. The transfer to B would donor's most recently deceased spouse (whose date of death is
qualify for the marital deduction if A's marriage to B was after December 31, 2010). In column (e), enter the total of the
recognized by the federal government. A has a basic exclusion amount in column (d) that the donor has applied to gifts in
of $5 million. A had previously used $1 million of the applicable previous years and is applying to gifts reported on this return. A
exclusion on other gifts in previous years. This means that A had donor may apply DSUE only to gifts made after the DSUE arose.
$4 million of applicable exclusion available in 2011. Since A's
available applicable exclusion ($4 million) is less than the
amount of all taxable gifts for the year ($5 million), A expended Part 2. DSUE Received From Other Predeceased
all $4 million of the available applicable exclusion on all taxable Spouse(s)
gifts during the year.
Enter information about the DSUE amount from the spouse(s), if
Example of Calculation of Restored Exclusion any, who died prior to the donor's most recently deceased
Amount spouse (but not before January 1, 2011) if the prior spouse's
executor elected portability of the DSUE amount. In column (d),
Taxable gifts to B indicate the amount of DSUE received from the estate of each
Applicable exclusion _______ Applicable exclusion predeceased spouse. In column (e), enter the portion of the
expended on all x Total taxable = allocable to gifts to B amount of DSUE shown in column (d) that was applied to prior
taxable gifts lifetime gifts or transfers. A donor may apply DSUE only to gifts
gifts
made after the DSUE arose.
$3 million Any remaining DSUE from a predeceased spouse
$4 million x _______ = $2,400,000 ! cannot be applied against tax arising from lifetime gifts if
$5 million CAUTION that spouse is not the most recently deceased spouse
on the date of the gift. This rule applies even if the last deceased
In 2011, A expended $2,400,000 of the applicable exclusion spouse had no DSUE amount or made no valid portability
on the taxable gift to B. election, or if the DSUE amount from the last deceased spouse
The second step of the procedure is to repeat the first step for has been fully applied to gifts in previous periods.
every year when the donor made a taxable gift to a same-sex
spouse.
The third step of the procedure is to add up the result for all Determining the Applicable Credit Amount
the years. The result is the total amount of applicable exclusion Including DSUE and the Restored Exclusion
expended on the same-sex spouse. This amount of applicable Amount
exclusion will be restored to the donor for use on future gifts and
bequests and is known as the Restored Exclusion Amount. Enter On line 1, enter the donor's basic exclusion amount; for 2024,
this amount on line 3 of Schedule C. this amount is $13,610,000. Add the amounts listed in column
Attach a statement to Form 709 detailing the calculation of (e) from Parts 1 and 2 and enter the total on line 2. On line 3,
the above procedure on the first Form 709 on which you claim a enter the Restored Exclusion Amount. On line 4, enter the total
Restored Exclusion Amount. of lines 1, 2, and 3. Using the Table for Computing Gift Tax,
determine the donor's applicable credit by applying the
The Restored Exclusion Amount will have to be appropriate tax rate to the amount on line 4. Enter this amount
! accounted for the donor on every subsequent Form 709 on line 5 and on line 7 of Part II—Tax Computation.
CAUTION (and Form 706) that will be filed. This means that on all
future Forms 709 that will be filed, the Restored Exclusion
Amount will need to be entered on Schedule C. (The Restored Schedule D. Computation of GST Tax
Exclusion Amount will be entered on line 9c of Part 2—Tax
Computation on Form 706.) In addition, the Worksheet for Part 1—Generation-Skipping Transfers
Schedule B, Column (c) (Credit Allowable for Prior Periods) Enter in Part 1 all of the gifts you listed in Part 2 of Schedule A, in
should reflect the Restored Exclusion Amount. For the period the same order and showing the same values. If reporting the
when the applicable exclusion was first restored, and on every GST portion of transfers subject to an ETIP, see How to report
subsequent period listed on the worksheet, add the Restorable GSTs after the close of an ETIP , later.
Exclusion Amount to the total DSUE amount (if any) and enter
the sum in column H.
Column (a)

Completing Schedule C List items from Schedule A, Part 2, column (a), in the same
Complete Schedule C if the donor is a surviving spouse who order. Next, list items to be reported on Schedule D (including
received a DSUE amount from one or more predeceased ETIP transfers), if any.

20 Instructions for Form 709 (2024)

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Column (b)                                                          Year                                                   Amount
                                                                    1999 . . . . . . . . . . . . . . . . . . . . . . . . . $1,010,000
Only provide descriptions for ETIP transfers; otherwise, leave      2000 . . . . . . . . . . . . . . . . . . . . . . . . . $1,030,000
blank.                                                              2001 . . . . . . . . . . . . . . . . . . . . . . . . . $1,060,000
                                                                    2002 . . . . . . . . . . . . . . . . . . . . . . . . . $1,100,000
Column (d)                                                          2003 . . . . . . . . . . . . . . . . . . . . . . . . . $1,120,000
                                                                    2004 and 2005  . . . . . . . . . . . . . . . . . . .   $1,500,000
You are allowed to claim the gift tax annual exclusion currently    2006, 2007, and 2008   . . . . . . . . . . . . . . .   $2,000,000
allowable for your reported direct skips (other than certain direct 2009 . . . . . . . . . . . . . . . . . . . . . . . . . $3,500,000
skips to trusts—see Note below) using the rules and limits          2010 and 2011  . . . . . . . . . . . . . . . . . . .   $5,000,000
discussed earlier for the gift tax annual exclusion. However, you   2012 . . . . . . . . . . . . . . . . . . . . . . . . . $5,120,000
must allocate the exclusion on a gift-by-gift basis for GST         2013 . . . . . . . . . . . . . . . . . . . . . . . . . $5,250,000
computation purposes. You must allocate the exclusion to each       2014 . . . . . . . . . . . . . . . . . . . . . . . . . $5,340,000
gift, to the extent desired but not exceeding the maximum           2015 . . . . . . . . . . . . . . . . . . . . . . . . . $5,430,000
allowable amount, in chronological order, beginning with the        2016 . . . . . . . . . . . . . . . . . . . . . . . . . $5,450,000
earliest gift that qualifies for the exclusion. Be sure that you do 2017 . . . . . . . . . . . . . . . . . . . . . . . . . $5,490,000
not claim a total exclusion of more than $18,000 per donee.         2018 . . . . . . . . . . . . . . . . . . . . . . . . . $11,180,000
                                                                    2019 . . . . . . . . . . . . . . . . . . . . . . . . . $11,400,000
Note.  You may not claim any annual exclusion for a transfer        2020 . . . . . . . . . . . . . . . . . . . . . . . . . $11,580,000
made to a trust unless the trust meets the requirements             2021 . . . . . . . . . . . . . . . . . . . . . . . . . $11,700,000
discussed under Part 2—Direct Skips, earlier.                       2022 . . . . . . . . . . . . . . . . . . . . . . . . . $12,060,000
How to report GSTs after the close of an ETIP. If you are           2023 . . . . . . . . . . . . . . . . . . . . . . . . . $12,920,000
reporting a GST that occurred because of the close of an ETIP,      2024 . . . . . . . . . . . . . . . . . . . . . . . . . $13,610,000
complete Part 1 as follows.
Column (b). For transfers subject to an ETIP only, describe 
each transfer as provided in the instructions for Part 1 of         In general, each annual increase can only be allocated to 
Schedule A. In addition, describe the interest that is closing the  transfers made (or appreciation occurring) during or after the 
ETIP, explain what caused the interest to terminate, list the date  year of the increase.
the ETIP closed, and list the year the gift portion of the transfer Example.       A donor made $1,750,000 in direct-skip GSTs 
was reported and its item number on Schedule A that was             through 2005, and allocated all $1,500,000 of the exemption to 
originally filed to report the gift portion of the ETIP transfer.   those transfers. In 2024, the donor makes a $2,000,000 taxable 
Column (c).                                                         GST. The donor can allocate $2,000,000 of exemption to the 
                                                                    2024 transfer but cannot allocate the $10,110,000 of unused 
1. If the GST exemption is being allocated on a timely filed        2024 exemption to pre-2024 transfers.
(including extensions) gift tax return, enter the value as of 
the close of the ETIP.                                              However, if in 2005, the donor made a $1,750,000 transfer to 
                                                                    a trust that was not a direct skip, but from which GSTs could be 
2. If the GST exemption is being allocated on a late-filed (past    made in the future, the donor could allocate the increased 
the due date including extensions) gift return, enter the           exemption to the trust, even though no additional transfers were 
value as of the date the gift tax return was filed.                 made to the trust. See Regulations section 26.2642-4 for the 
                                                                    redetermination of the applicable fraction when additional 
Part 2—GST Exemption Reconciliation                                 exemption is allocated to the trust.
Line 1                                                              Keep a record of your transfers and exemption allocations to 
                                                                    make sure that any future increases are allocated correctly.
Every donor is allowed a lifetime GST exemption. The amount of      Enter on line 1 of Part 2 the maximum GST exemption you are 
the exemption for 2024 is $13,610,000. For transfers made           allowed. This will not necessarily be the highest indexed amount 
through 1998, the GST exemption was $1 million. The exemption       if you made no GSTs during the year of the increase.
amounts for 1999 through 2024 are as follows.                       The donor can apply this exemption to inter vivos transfers 
                                                                    (that is, transfers made during the donor's life) on Form 709. The 
                                                                    executor can apply the exemption on Form 706 to transfers 
                                                                    taking effect at death. An allocation is irrevocable.
                                                                    In the case of inter vivos direct skips, a portion of the donor's 
                                                                    unused exemption is automatically allocated to the transferred 
                                                                    property unless the donor elects otherwise. To elect out of the 
                                                                    automatic allocation of exemption, you must file Form 709 and 
                                                                    attach a statement to it clearly describing the transaction and the 
                                                                    extent to which the automatic allocation is not to apply. Reporting 
                                                                    a direct skip on a timely filed Form 709 and paying the GST tax 
                                                                    on the transfer will prevent an automatic allocation.
                                                                    Special QTIP election.         If you elect QTIP treatment for any gifts 
                                                                    in trust listed on Schedule A, then on Schedule D you may also 
                                                                    elect to treat the entire trust as non-QTIP for purposes of the 
                                                                    GST tax. The election must be made for the entire trust that 
                                                                    contains the particular gift involved on this return. Be sure to 
                                                                    identify the item number of the specific gift for which you are 
                                                                    making this special QTIP election.

Instructions for Form 709 (2024)                                                                                                      21

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                                      Table for Computing Gift Tax
             Column A                 Column B                                Column C                   Column D
                                                                                                         Rate of tax
             Taxable                  Taxable                                 Tax on                      on excess
              amount                   amount                                  amount in                  over amount
              over—                    not over—                               column A                   in column A
             - - - - -                $10,000                                   - - - - -                          18%
             $10,000                  20,000                                    $1,800                             20%
             20,000                   40,000                                     3,800                             22%
             40,000                   60,000                                     8,200                             24%
             60,000                   80,000                                    13,000                             26%

             80,000                   100,000                                   18,200                             28%
             100,000                  150,000                                   23,800                             30%
             150,000                  250,000                                   38,800                             32%
             250,000                  500,000                                   70,800                             34%
             500,000                  750,000                                 155,800                              37%
             750,000                  1,000,000                               248,300                              39%
             1,000,000                - - - - -                               345,800                              40%

Line 5                                                               Column (c)

Enter the amount of GST exemption you are applying to transfers      You are not required to allocate your available exemption. You 
reported in Part 3 of Schedule A.                                    may allocate some, all, or none of your available exemption, as 
                                                                     you wish, among the gifts listed in Part 3 of Schedule D. 
Section 2632(c) provides an automatic allocation to indirect         However, the total exemption claimed in column (c) may not 
skips of any unused GST exemption. The unused exemption is           exceed the amount you entered on line 3 of Part 2 of 
allocated to indirect skips to the extent necessary to make the      Schedule D.
inclusion ratio zero for the property transferred. You may elect 
out of this automatic allocation as explained in the instructions 
for Part 3.                                                          Column (d)

                                                                     Carry your computation to three decimal places (for example, 
Line 6
                                                                     “1.000”).
Notice of Allocation.  You may wish to allocate GST exemption 
to transfers not reported on this return, such as a late allocation. Part II—Tax Computation (Page 1 of 
To allocate your exemption to such transfers, attach a 
statement to this Form 709 and entitle it “Notice of Allocation.”    Form 709)
The notice must contain the following for each trust (or other 
transfer).                                                           Lines 4 and 5
•  Clear identification of the trust, including the trust's EIN, if  To compute the tax for the amount on line 3 (to be entered on 
   known.                                                            line 4) and the tax for the amount on line 2 (to be entered on 
•  If this is a late allocation, the year the transfer was reported  line 5), use the Table for Computing Gift Tax.
   on Form 709.
•  The value of the trust assets at the effective date of the        Line 7
   allocation.                                                       The applicable credit (formerly unified credit) amount is the 
•  The amount of your GST exemption allocated to each gift (or       tentative tax on the applicable exclusion amount. For gifts made 
   a statement that you are allocating exemption by means of a       in 2024, the applicable exclusion amount equals:
   formula such as “an amount necessary to produce an                  The basic exclusion amount of $13,610,000, PLUS
   inclusion ratio of zero”).                                        •
•  The inclusion ratio of the trust after the allocation.            • Any DSUE amount, PLUS
                                                                     • Any Restored Exclusion Amount.
Total the exemption allocations and enter this total on line 6.
                                                                      If you are a citizen or resident of the United States, you must 
Note. Where the property involved in such a transfer is subject      apply any available applicable credit against gift tax. If you are 
to an ETIP, an allocation of the GST exemption at the time of the    not eligible to use a DSUE amount from a predeceased spouse, 
transfer will only become effective at the end of the ETIP. For      or Restored Exclusion Amount on taxable gifts made to a 
details, see Transfers Subject to an Estate Tax Inclusion Period     same-sex spouse, enter $5,389,800 on line 7. Nonresidents not 
(ETIP), earlier, and section 2642(f).                                citizens of the United States may not claim the applicable credit 
                                                                     and should enter zero on line 7.
Part 3—Tax Computation
You must enter in Part 3 every gift you listed in Part 1 of           If you are eligible to use a DSUE amount from a predeceased 
Schedule D.                                                          spouse or a Restored Exclusion Amount for taxable gifts to a 
                                                                     same-sex spouse (or both), complete Schedule C—Deceased 
                                                                     Spousal Unused Exclusion (DSUE) Amount and enter the 
                                                                     amount from line 5 of that schedule on line 7 of Part II—Tax 
                                                                     Computation.

22                                                                                        Instructions for Form 709 (2024)

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Determine the tentative tax on the applicable exclusion 
amount using the rates in the Table for Computing Gift Tax, and       Signature
enter the result on line 7.                                           As a donor, you must sign the return. If you pay another person, 
                                                                      firm, or corporation to prepare your return, that person must also 
Line 10                                                               sign the return as preparer unless that person is your regular 
                                                                      full-time employee.
Enter 20% of the amount allowed as a specific exemption for 
gifts made after September 8, 1976, and before January 1, 1977.       Remember, if you and your spouse have consented to split 
(These amounts will be among those listed in Schedule B,              gifts, your spouse must also sign and date a Notice of Consent, 
column (d), for gifts made in the third and fourth quarters of        to be attached to the return.
1976.)
                                                                      Third-party designee. If you want to allow the return preparer 
Line 13                                                               (listed on the bottom of page 1 of Form 709) to discuss your 
                                                                      2024 Form 709 with the IRS, check the “Yes” box to the far right 
Gift tax conventions are in effect with Australia, Austria,           of your signature on page 1 of your return.
Denmark, France, Germany, Japan, and the United Kingdom. If 
you are claiming a credit for payment of foreign gift tax, figure the If you check the “Yes” box, you (and your spouse, if splitting 
credit and attach the calculation to Form 709, along with             gifts) are authorizing the IRS to call your return preparer to 
evidence that the foreign taxes were paid. See the applicable         answer questions that may arise during the processing of your 
convention for details of computing the credit.                       return. You are also authorizing the return preparer of your 2024 
                                                                      Form 709 to:
Line 19                                                               • Give the IRS any information that is missing from your return;
                                                                      • Call the IRS for information about the processing of your 
Make your check or money order payable to “United States                return or the status of your payment(s);
Treasury” and write the donor's SSN on it. You may not use an         • Receive copies of notices or transcripts related to your 
overpayment on Form 1040 or 1040-SR to offset the gift and              return, upon request; and
GST taxes owed on Form 709.                                           • Respond to certain IRS notices about math errors, offsets, 
No checks of $100 million or more accepted.     The IRS                 and return preparation.
cannot accept a single check (including a cashier's check) for        You are not authorizing your return preparer to receive any 
amounts of $100,000,000 ($100 million) or more. If you're             refund check, to bind you to anything (including any additional 
sending $100 million or more by check, you'll need to spread the      tax liability), or otherwise represent you before the IRS. If you 
payments over two or more checks, with each check made out            want to expand the authorization of your return preparer, see 
for an amount less than $100 million. The $100 million or more        Pub. 947, Practice Before the IRS and Power of Attorney.
amount limit does not apply to other methods of payment (such 
as electronic payments), so please consider paying by means           The authorization will automatically end 3 years from the date 
other than checks.                                                    of filing Form 709. If you wish to revoke the authorization before it 
                                                                      ends, see Pub. 947.

Disclosure, Privacy Act, and Paperwork Reduction Act Notice.          We ask for the information on this form to carry out the Internal 
Revenue laws of the United States. We need the information to figure and collect the right amount of tax. Form 709 is used to report (1) 
transfers subject to the federal gift and certain GST taxes and to figure the tax, if any, due on those transfers; and (2) allocations of the 
lifetime GST exemption to property transferred during the transferor's lifetime.
Our legal right to ask for the information requested on this form is found in sections 6001, 6011, 6019, and 6061, and their 
regulations. You are required to provide the information requested on this form. Section 6109 requires that you provide your identifying 
number.
Generally, tax returns and return information are confidential, as stated in section 6103. However, section 6103 allows or requires 
the Internal Revenue Service to disclose or give such information shown on your Form 709 to the Department of Justice to enforce the 
tax laws, both civil and criminal, and to cities, states, the District of Columbia, and U.S. commonwealths and territories for use in 
administering their tax laws. We may also disclose this information to other countries under a tax treaty, to federal and state agencies 
to enforce federal nontax criminal laws, or to federal law enforcement and intelligence agencies to combat terrorism.
We may disclose the information on your Form 709 to the Department of the Treasury and contractors for tax administration 
purposes; and to other persons as necessary to obtain information that we cannot get in any other way for purposes of determining the 
amount of or to collect the tax you owe. We may disclose the information on your Form 709 to the Comptroller General to review the 
Internal Revenue Service. We may also disclose the information on your Form 709 to Committees of Congress; federal, state, and 
local child support agencies; and to other federal agencies for the purpose of determining entitlement for benefits or the eligibility for, 
and the repayment of, loans.
If you are required to but do not file a Form 709, or do not provide the information requested on the form, or provide fraudulent 
information, you may be charged penalties and be subject to criminal prosecution.
You are not required to provide the information requested on a form that is subject to the Paperwork Reduction Act unless the form 
displays a valid OMB control number. Books or records relating to a form or its instructions must be retained as long as their contents 
may become material in the administration of any Internal Revenue law.
The time needed to complete and file this form will vary depending on individual circumstances. The estimated average time is:

Instructions for Form 709 (2024)                                                                                                        23

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Recordkeeping. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52 min.
Learning about the law or the form. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      1 hr., 53 min.
Preparing the form . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 hr., 21 min.
Copying, assembling, and sending the form to the IRS. . . . . . . . . . . . . . . . . . . . . . . . . . .                1 hr., 3 min.

Comments and suggestions. We welcome your comments about this publication and suggestions for future editions.
You can send us comments through IRS.gov/FormComments. Or, you can write to the Internal Revenue Service, Tax Forms and 
Publications, 1111 Constitution Ave. NW, IR-6526, Washington, DC 20224.
Although we can't respond individually to each comment received, we do appreciate your feedback and will consider your 
comments and suggestions as we revise our tax forms, instructions, and publications. Don’t send tax questions, tax returns, or 
payments to the above address. Instead, see Where To File, earlier.

24                                                                                                                       Instructions for Form 709 (2024)

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