Gift Tax Calculator
Calculate whether a gift is taxable and how much falls under the annual and lifetime exclusion.
US federal gift tax estimator.
Gift Tax Analysis
Gift tax applies when you give someone money or property exceeding the annual exclusion amount. Most gifts are not actually taxed due to generous exclusion amounts.
Key numbers (2025):
- Annual exclusion: $18,000 per recipient (no tax, no reporting)
- Lifetime exclusion: $13.61 million (cumulative gifts above annual exclusion)
- Top gift tax rate: 40%
How it works:
- Gifts up to the annual exclusion ($18,000) are completely tax-free — no forms needed
- Gifts above the annual exclusion count against your lifetime exclusion
- You only owe gift tax when you’ve exceeded your lifetime exclusion
Special rules:
- Married couples can combine exclusions: $36,000 per recipient (gift splitting)
- Tuition/medical payments made directly to institutions are unlimited and excluded
- Gifts to spouses (US citizen) are unlimited and excluded
- Gifts to charities are not subject to gift tax
Important: The lifetime exclusion is shared with the estate tax exclusion. Gifts you make reduce your estate tax exemption.