How to Calculate Gift Tax

What is Gift Tax?

A gift tax calculator determines whether a gift triggers reporting requirements or uses part of the lifetime gift and estate tax exemption. In 2024, gifts up to $18,000 per recipient per year are excluded from gift tax reporting. Gifts above this use part of the $13.61 million lifetime exemption before any tax is owed.

Step-by-Step Guide

1. 1Track annual gift amount
2. 2Apply annual exclusion
3. 3Report excess gifts

Worked Examples

Common Mistakes to Avoid

• ✕Not verifying results
• ✕Ignoring jurisdiction

Frequently Asked Questions