Irs Gift Tax Exclusion 2024. The gift tax is a tax on the transfer of property by one individual to another while receiving nothing, or less than full value, in return. The gift tax rate only applies to gift amounts exceeding the lifetime exclusion limit, which is $12.92m for the 2023 tax year.

For instance, if a father makes a gift of $118,000 to his. The gift tax limit (or annual gift tax exclusion) for 2023 is $17,000 per recipient.