Gift Tax

There is a gift tax exclusion that allows you to give up to $15,000 per year (in 2019) per person without any gift tax impact. Any amounts above that are subject to gift tax; however, there is a cumulative gift tax exclusion during one’s life which exceeds 11.2 million dollars (in 2019). In order to track gifts, any time you gift more than $15,000 (in 2019) to a person, it is necessary that you file a gift tax return (so the government can track gifting amounts). Exclusionary amounts are controlled by the federal government and can change over time.