$18,000 Gift Tax Exclusion in 2024

The IRS has increased the annual gift tax exclusion to $18,000 in 2024. This increases opportunities to pass wealth to subsequent generations tax-free.

You can gift up to $18,000 to an individual without owing gift taxes and without filing a gift tax return (IRS Form 709). The exclusion is per donor and per recipient. For example, two grandparents can give $18,000 each to two grandchildren for a total gift of $72,000.

This is an amazing opportunity to gift assets tax-free, especially for high-net-worth individuals who likely will have taxable estates. Through careful planning, millions of dollars can be transferred over many years without gift tax consequences. And these gifts can be structured with trusts to protect your inheritance for future generations.