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Enter donee and gift information and allocating gifts to donees

UltraTax CS 709 automatically allocates gifts and assigns annual exclusion to gift recipients based on the information you enter on the
709
,
Donee
,
Trust
,
Gift
, and
G529
 screens. Do the following steps to enter gift recipients and gift information, and to allocate a gift.
  1. Select
    File
    , then
    Open Client
     to open the client.
  2. Enter all needed donor and spouse information on the
    709
     screen in the
    General
     folder.
  3. In the
    Gift
     folder, select the
    Screen Donee
     tab.
    note
    This multiple-unit input screen accommodates data entry for up to 11 gift recipients on each unit of this screen. If you have more than 11 gift recipients, select the down arrow (which appears after you have entered data on this screen) on the
    Donee
     tab and select
    Add Unit
     (or
    Ctrl+A
    ) to open an extra unit.
  4. Enter each gift recipient's name, address, and relationship information. Gift recipients include relatives, friends, trusts, and charities. A gift recipient that gets a gift as both an individual and as a trust beneficiary only needs to be entered once. UltraTax CS assigns a unique number to each gift recipient that is used for identification and the calculation of each gift recipient's yearly exclusion. All information entered on the
    Donee
     screen and the
    Trust
     screen proformas, eliminating the need to re-enter this information in subsequent years.
    note
    Do
    not
     enter a spouse as a gift recipient on the
    Donee
     screen. The spouse's information is automatically retrieved from the data entered on the
    709
     screen. The unique number assigned to a spouse is 999 and always appears last in lists of donees.
  5. If the gift recipient is a charity, enter
    X
     in the
    Charity
     field.
  6. Enter trust information on the
    Trust
     screen. In the
    Beneficiary(ies)
     statement window, to select each trust beneficiary, select the donee number related to the trust beneficiary from the fieldview in the
    Donee No.
     column. Also, enter the percentage of each beneficiaries trust interest and enter
    X
     in the
    Remainder Interest
     column if it applies to the beneficiary.
    note
    • If the fieldview in the
      Donee No.
       column doesn’t list the name you're looking for or "
      Unavailable - Enter on federal Screen Donee
      " appears, close the statement window and enter the gift recipient's name and information on the
      Donee
       screen.
    • If the
      Percent of Trust Interest
       field is blank, UltraTax CS defaults to dividing the gift to the trust equally among the beneficiaries entered.
  7. In the
    Gift
     folder, select the
    Gift
     tab and enter all data and gift information for each gift that is not a section 529 gift (made to a Qualified Tuition program). Section 529 gifts are entered on the
    G529
     screen.
    note
    This multiple-unit input screen accommodates data entry for up to 1 gift on each unit of this screen. To enter more gifts, select the down arrow on the
    Donee
     tab and select
    Add Unit
     (or
    Ctrl+A
    ) to open an extra unit.
    note
    • For details on entering gift information in the various fields on the
      Gift
       screen, select
      F1
       from within any field on the
      Gift
       screen.
    • Enter data in each of the following fields.
      • Item number
        ,
        Description
        ,
        Date of gift
        ,
        Donee(s), gift division
        , and
        Value at date of gift
        . The gift is not included in the return unless there is data in these fields.
      • Any gift made to a Qualified Tuition (section 529) program is entered on the
        G529
         screen.
    note
    By default, UltraTax CS assumes that the gift is made by the donor. If the donor made the gift, enter
    1
     in the
    Given by
     field or leave it blank. For gifts made by the spouse, enter
    2
    . For joint gifts, enter
    3
    .
  8. You can link or allocate gifts in the
    Donee(s), gift division
     statement window on the
    Gift
     screen if the gift is not to be evenly divided between the donees selected. Enter either a gift percentage in the
    Percent of Gift if Not Equal
     column or a gift amount in the
    Amount of Gift if Not Equal
     column for each gift recipient.
    note
    Enter all gift recipient information on the
    Donee
     screen before beginning data entry in this statement window. If the fieldview in the
    Donee No.
     column doesn’t list the name you are looking for or if "
    Unavailable - Enter on federal Screen Donee
    " appears, close the statement window and enter the gift recipient's name and information in the next available set of fields on the
    Donee
     screen, then return to this statement window.
    note
    The following defaults apply to the fields in the
    Donee(s), gift division
     statement window.
    • If the
      Percent of Gift if Not Equal
       or
      Amount of Gift if Not Equal
       fields are blank, UltraTax CS defaults to dividing the gift equally among the gift recipients entered.
    • If the
      Percent of Gift if Not Equal
       column doesn’t equal 100 or the
      Amount of Gift if Not Equal
       column doesn’t equal the amount entered in the
      Value at date of gift
       field, UltraTax CS defaults to dividing the gift equally among the gift recipients entered.
  9. For section 529 gifts (made to a Qualified Tuition program), enter information on the
    G529
     screen in the
    Gift
     folder in the same manner as on the
    Gift
     screen. For details on entering gift information in the various fields on the
    G529
     screen, select
    F1
     from within any field.
    note
    UltraTax CS calculates the section 529 gift amounts based on information entered on the
    709
     and
    G529
     screens. To have the gift spread ratably over 5 years and automatically split with the spouse if gift splitting has been elected, enter an explanation in the
    Explanation for section 529(c)(2)(B) election
     field.
  10. The Section 529 Gift Worksheet presents the gift allocation for each of the 5 consecutive years and between donor and spouse. To view the 529 worksheet, select
    529 Wrk
    . Each gift recipient's Donee Worksheet includes a summary of all gifts.

This article applies to:

  • PRODUCT: UltraTax CS
  • Return type: 709 Gift Tax

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