Free gift tax exclusion worksheet. Model taxable gifts using the exclusion and lifetime exemption amounts you want to compare.
The federal gift tax applies to transfers of property during your lifetime in excess of annual and lifetime exclusion amounts. This page is a worksheet for comparing the exclusion assumptions you want to model rather than a live law lookup.
The annual exclusion and lifetime exemption can change over time. Married couples may also be able to gift-split, which changes the per-recipient exclusion assumption you use in the worksheet.
Use the calculator to see whether a gift would be taxable under the scenario you enter and how that scenario affects any remaining exemption.
Strategic gifting can reduce estate taxes while benefiting loved ones during your lifetime. This calculator helps quantify how much you can give under the exemption scenario you choose and the impact of larger gifts on your remaining exemption.
Annual Exclusion = input value per recipient, doubled if gift-splitting Taxable Gift = Gift Amount − Annual Exclusion Lifetime Exemption Used = Sum of Taxable Gifts Remaining Exemption = Lifetime Exemption − Prior Gifts Used Gift Tax = Taxable Gift × 40% (only if lifetime exemption exhausted)
Result: $36,000 uses lifetime exemption
$50,000 per recipient × 3 = $150,000 total. With gift-splitting, $38,000 per recipient is excluded ($114,000). Remaining $36,000 reduces the lifetime exemption. No tax is owed as long as the lifetime exemption is not exhausted.
A couple with four children and four children-in-law can gift the per-recipient amount entered in the worksheet to each recipient, which can move a meaningful amount of wealth each year if the scenario allows gift-splitting. Over time, that can remove future growth from the taxable estate.
Gifting stock or real estate expected to appreciate moves future growth out of your estate. The recipient takes your cost basis, so consider the income tax tradeoff. For assets that have already appreciated significantly, the step-up in basis at death might be more advantageous.
The page is meant to compare exclusion assumptions, not to publish a current-law amount. If the law or your planning assumption changes, update the worksheet inputs and rerun the estimate.
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This page is a gift-planning worksheet, not a legal determination of tax liability. It applies the annual exclusion, gift-splitting, and lifetime-exemption assumptions you enter to show how much of a transfer is taxable in the scenario you are modeling. The worksheet is intended for planning and comparison, not for current-law filing advice.
The annual exclusion is the per-recipient amount used in the worksheet. This page lets you enter the exclusion scenario you want to model so you can see how it affects taxable gifts and lifetime exemption usage.
Gift splitting allows married couples to treat a gift from one spouse as if it came equally from both. In the worksheet, that doubles the annual exclusion per recipient. Both spouses must consent and file Form 709 where required.
File Form 709 if your transfer scenario requires it, if you gift-split with your spouse, or if you make gifts that are not fully covered by the exclusion assumptions you entered. Individual circumstances can significantly affect the outcome.
In this worksheet, taxable gifts reduce the remaining lifetime exemption you enter. The gift and estate tax systems are often linked in planning, so the worksheet is designed to show that interaction without claiming a live exemption amount.
Some transfers are treated differently from ordinary gifts, such as certain direct tuition or medical payments and some gifts between spouses. Use the worksheet assumption that matches your planning scenario.
Once the lifetime exemption scenario is exhausted, additional taxable gifts are subject to gift tax in the worksheet. The gift tax is paid by the donor, not the recipient.