Did you make large gifts to your children, grandchildren or other heirs last year? If so, it’s important to determine whether you’re required to file a 2022 gift tax return. And in some cases, even if it’s not required to file one, you may want to do so anyway. Filing requirements The annual gift tax exclusion has increased in 2023 to $17,000 but was $16,000 for 2022. Generally, you must file a gift tax return for 2022 if, during the tax year, you made gifts:
- That exceeded the $16,000-per-recipient gift tax annual exclusion for 2022 (other than to your U.S. citizen spouse),
- That you wish to split with your spouse to take advantage of your combined $32,000 annual exclusion for 2022,
- That exceeded the $164,000 annual exclusion in 2022 for gifts to a noncitizen spouse,
- To a Section 529 college savings plan and wish to accelerate up to five years’ worth of annual exclusions ($80,000) into 2022,
- Of future interests — such as remainder interests in a trust — regardless of the amount, or
- Of jointly held or community property.
- Annual exclusion gifts,
- Present interest gifts to a U.S. citizen spouse,
- Educational or medical expenses paid directly to a school or health care provider, or
- Political or charitable contributions.