Gift Tax Return

A Gift Tax Return is a form that individuals in the United States may need to file with the IRS when they give gifts that exceed a certain value in a year. The IRS sets annual limits on how much you can gift without incurring taxes—currently $17,000 per recipient (as of 2023). If you give more than this amount to one person within the year, you must report it to the IRS using Form 709. This does not necessarily mean you owe tax, but it helps track your lifetime gift tax exemption, which is higher.