To amend the Internal Revenue Code of 1986 to increase the unified estate and gift tax credit to an amount equivalent to a $1,200,000 exemption.

Amends the Internal Revenue Code to: (1) increase the unified credit against the estate tax of citizens or residents; (2) the unified credit against the estate tax of nonresidents who are not citizens; and (3) the unified credit against the gift tax.

Requires an estate tax return in cases where the gross estate exceeds $1.2 million (currently $600,000).

Revises the formula for the phaseout of graduated rates and the unified credit.