Gift Exclusion In 2025. The irs has announced that the annual gift tax exclusion is increasing in 2025 due to inflation. The act applies only to tax years up to 2025, and it requires the elevated exemption to sunset on december 31, 2025.
Looking forward to 2025, the irs recently announced that the annual gift tax exclusion will increase to $19,000 per individual, while the lifetime estate and gift tax exemption will rise. The annual exclusion for gifts is increased to $19,000 for the 2025 calendar year, up from $18,000 in 2024.