I see, I am sorry I was not aware of this to begin with. This is actually inheritance tax, not gift tax, because PA has a 1 year "look back" from the year of death which enables them to tax any gifts given in that period. (despicable, I know)....
Here is information from the inheritance tax return instructions:
1. TRANSFERS MADE WITHIN ONE (1) YEAR OF
Such transfers by a decedent are subject to tax to the extent that
they exceed $3,000 at the time of the transfer. If a combined total
of all transfers per transferee during any calendar year exceeds
$3,000, exclusion may be claimed. For example, if the decedent
transferred $10,000 within one year of his death, $7,000 would
be subject to Inheritance Tax."
To my knowledge, the amount minus $3000 is taxable, at the rate of 15%. I am unaware of any provision for a gift made in 2010 not to be included in the 2011 inheritance tax.
I am sorry that this happened to you, and my condolences on your loss.