1. Compute the value of Robert’s probate estate.
2. Compute the value of Robert’s gross estate.
3. Determine the total allowable deductions.
4. Calculate the estate tax base; taking into account the gifts given to Nathan and Mary (remember that the annual exclusions “adjust” the taxable gifts).
5. Use Exhibit 15.7 to determine the tentative tax on estate tax base.
6. Subtract the appropriate unified tax credit for 2012 from the tentative tax on estate tax base to arrive at the federal estate tax due.