Gift Tax Basics
Annual Exclusion
You can give $18,000 per person per year (2024) to unlimited recipients without gift tax or reporting requirements. Married couples can give $36,000 per recipient.
Lifetime Exemption
Federal lifetime exemption is $13.61 million per person (2024). Gifts exceeding annual exclusion reduce your lifetime exemption but don't trigger tax until exemption is exhausted.
What Counts as a Gift
- Cash and checks
- Property transfers
- Forgiving a loan
- Below-market loans
- Adding someone to a deed or account
Excluded Gifts
- Gifts to your spouse (unlimited marital deduction)
- Direct payment of medical expenses
- Direct payment of tuition
- Political contributions
- Charitable donations