From the instructions
The applicable credit (formerly unified credit) amount is the tentative tax on the applicable exclusion amount. For gifts made in 2022, the applicable exclusion amount equals:
•
The basic exclusion amount of $12,060,000, PLUS
•
Any DSUE amount, PLUS
•
Any Restored Exclusion Amount.
If you are a citizen or resident of the United States, you must apply any available applicable credit against gift tax. If you are not eligible to use a DSUE amount from a predeceased spouse, or Restored Exclusion Amount on taxable gifts made to a same-sex spouse, enter $4,769,800 on line 7. Nonresidents not citizens of the United States may not claim the applicable credit and should enter zero on line 7."
Rather than have us add up all gifts up to $11 or $12 million, the IRS does it in reverse. They want you to calculate the tax you should owe (Line 4) but then they tell you there is currently a credit for taxes on amounts up to that $12 million.
The credit is $4,769,800. You can figure this out if you look at what tax would be owed on $12,060,000 using Table on page 20. The answer is $4,769,800.
