Gift Tax Limit 2024 – Exemptions, Gift Tax Rates & Limits Explained

The Gift Tax 2024 is the federal tax which is levied on the transfer or money or property to some other person. The gift tax will be provided when you will be receiving nothing in return. The Gift Tax Limit 2024 is $18000 for the individuals and for spouses together it will be $36000. The Gift Tax Rates 2024 can be expected to be 18% to 40% and the gift giver is the one who will be paying the taxes. The Gift Tax Exemption 2024 along with the IRS Gift Tax Exclusions 2024 can be checked through the post given below.

Through this article, one will get the updates on the gift tax which will be provided from 1 January 2024. 

Gift Tax Limit 2024

The Gift Tax is provided when an individual provides money and transfers the property to some other individual other than spouse. The gift tax is paid by the one who is the giver and not the one who gets the gift. The Gift Tax Rate 2024 starts at 18% and can go up to 40%. The tax payment responsibility will lie to the donor and not the receiver. The gift tax has some exclusions. Not all the gifts have to be made as taxes.

The gifts of the amount more than $18000 will be taxable and the Gift Tax Rates 2024 are different for each value of the gift being given. The gift tax limit was $17000 in 2023 and now the limit has been increased to $18000 for the year 2024. If the individual has given the gift of $16000, then the amount will not be eligible for the gift tax.

If the gift is given to the spouse or dependent, then it will not come under the gift tax. The gifts like charitable donations, medical expenses, and tuition fees are free from tax. The gift tax has two types of exceptions which is the Annual Exclusion and IRS Gift Tax Exemption. The annual gift tax exclusion is $18000 and one can gift anything for an amount less than $18000. The post given below will provide you with the details on the irs.gov Gift Tax Limit 2024 which will be provided on the transfer of money or property. 

irs.gov Gift Tax Limit 2024

The Internal Revenue Service has been charging the tax on the gift of money or property which is provided to the individuals. The Gift Tax Limit 2024 is $18000 and the ones who will be giving the tax will be providing the tax. The tax will not be levied in the case of a gift given to the spouse.

Organization Internal Revenue Service 
Post name Gift Tax Limit 2024
Limit $18000
Older limit $17000
Gift Tax Rates 202418% to 40%
Taxable amount $18000 or above 
IRS Lifetime Gift Tax Exemption 2024School or tuition fees, charitable donations, medical expenses 
Post type Finance
Website https://www.irs.gov/ 

IRS Gift Tax 2024

  • The Gift Tax 2024 is the payment of the tax which has to be paid by the individual in case they have transferred the property or money.
  • The gift tax will not be levied in case the individual has given the gift of the amount less than $18000
  • If the gift is more than the exclusion limit, the difference of the two will be subtracted from the IRS Lifetime Gift Tax Exemption 2024 of the individual.
  • The Gift Tax Rates 2024 will vary from 18% to 40%.
  • The irs.gov Gift Tax Limit 2024 can be checked through the table given below in this post. 

Gift Tax 2024 Exemptions

The following are the exemptions under the Gift Tax 2024.

  • Tuition and medical expenses are not covered under Gift tax
  • Gift to a spouse who is not the US citizen is not taxable for the Gift Tax
  • Gift to political organization
  • Medical expenses
  • Gifts before 1977

Annual Gift Tax Exclusion 2024

The IRS will allow the individuals to provide an amount of assets or property each year which is not taxable. The annual exclusion of Gift Tax 2024 is $18000 which means that any gift till $18000 will be non taxable and the amount of the $17000 was the limit which was in 2023. For instance, the individual gives $22000 to his grandchild, in such a case, the taxable amount will be $4000. The married couple jointly owe $36000 as the annual tax.

IRS Lifetime Gift Tax Exemption 2024

The IRS will only allow up to $13.61 million of assets or property to be transferred and if the gift excludes the annual exclusion limit, the remaining is deducted from the IRS Lifetime Gift Tax Exemption 2024 and no taxes will be paid by the individual.  

Example: Gift value is $30000, the exclusion limit is $18000, taxable limit is $12000.

The lifetime Gift Tax exemption limit is $13610000 and the remaining lifetime exemption limit will be $13598000.

IRS Gift Tax Limit 2024

The Gift Tax Limit 2024 is now $18000 and the earlier the limit was $17000 in 2023. Now the new limit will be applicable from 1 January 2024. The limit means that any amount which exceeds $18000 will be charged as tax after the exceptions are applied to the same. For the married couple Gift Tax Limit 2024 is $18000 each which means that the combined limit will be $36000. 

Gift Tax Rates 2024

Taxable amount Gift Tax Rates 2024
Less than $1000018%
$10001 to $2000020%
$20001 to $4000022%
$40001 to $6000024%
$60001 to $8000026%
$80001 to $10000028%
$100001 to $15000030%
$150001 to $25000032%
$250001 to $50000034%
$500001 to $75000037%
$750001 to $100000039%
More than $100000040%

irs.gov Gift Tax Limit 2024 Links

Gift Tax Limit 2024Gift Taxes

Frequently Asked Questions On Gift Tax Limit 2024

What is the Gift Tax 2024?

The IRS Gift Tax 2024 is the amount of the tax to be given by the donor if the amount is more than $18000.

What is the irs.gov Gift Tax Limit 2024?

The IRS Gift Tax Limit 2024 is $18000.

What is the Gift Tax Limit 2024 for married couples?

The irs.gov Gift Tax Limit 2024 for married couples is $36000.

What are the Gift Tax 2024 Rates?

The Gift Tax 2024 Rates are from 18 to 40%.

What is the Gift Tax 2024 Exemption?

The Gift Tax 2024 Exemption is gift to spouse, gift to medical expenses, gift to political organizations, gift before 1977.

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