Annual Gifting Exclusion

HomePractice AreasEstate & Gift Tax PlanningFederal Gift TaxAnnual Gifting Exclusion

Under present federal estate and gift tax law, an individual can give a total of $14,000 to each gift recipient on an annual basis without incurring any federal gift tax. Married individuals can “gift-split” which means that a total of $28,000 can be given without incurring gift tax. Frequently, use of the annual gifting exclusion is incorporated into a sophisticated estate plan to minimize or reduce federal estate tax exposure.