Gift Tax Calculator
The gift tax exists to prevent people from avoiding the estate tax by giving their wealth away before death, and it works alongside the estate tax through a shared lifetime exemption. In 2026 you can give up to $19,000 per recipient per year with no reporting required at all, and you can give that amount to any number of people, which makes annual gifting a powerful tool for transferring wealth tax-free over time. Gifts above the annual exclusion count against your $13.9 million lifetime exemption, and you owe actual tax (at 40%) only once you've exceeded that lifetime limit, so most people who make large gifts never pay gift tax — they simply use up part of their lifetime exemption and file a gift tax return to track it. This calculator estimates the reportable amount of a gift, the lifetime exemption used, and any tax owed. Enter the gift amount and your prior lifetime taxable gifts, and the calculator returns the reportable amount, the lifetime exemption used, and the estimated tax. The giver generally pays the gift tax, not the receiver, though the receiver may need to report large gifts in some cases. Gifts to a U.S. citizen spouse are unlimited and tax-free, and gifts to qualifying charities are deductible with no gift tax, so those don't count against the exemption. Payments made directly to a school for tuition or directly to a medical provider are also exempt from gift tax with no limit, beyond the annual exclusion — a valuable way to help family members with education or medical costs without using any of your exemption. Use this calculator to clarify the annual exclusion and lifetime exemption, estimate any gift tax owed, track your lifetime exemption usage, and plan a gifting strategy that transfers wealth efficiently to the next generation or to charity.
Gift Tax Calculator
Estimate the gift tax on a transfer above the annual exclusion.
Estimated gift tax
$0
Covered by lifetime exemption
Reportable this year
$31,000
After $19,000 exclusion
Lifetime exemption used
$31,000
Of $13,900,000
In 2026 you can gift up to $19,000 per recipient per year with no reporting. Gifts above that count against your $13.9 million lifetime exemption; tax applies only once you exceed it.
How to Use This Calculator
- 1Enter the gift amount.
- 2Enter your prior lifetime taxable gifts.
- 3Read the reportable amount and estimated tax.
Why It Helps
- ✓Clarifies the annual exclusion and lifetime exemption.
- ✓Estimates any gift tax owed.
- ✓Tracks lifetime exemption usage.
- ✓Helps with gifting strategy.
About This Calculator
The gift tax exists to prevent people from avoiding the estate tax by giving their wealth away before death, and it works alongside the estate tax through a shared lifetime exemption. In 2026 you can give up to $19,000 per recipient per year with no reporting required at all, and you can give that amount to any number of people, which makes annual gifting a powerful tool for transferring wealth tax-free over time. Gifts above the annual exclusion count against your $13.9 million lifetime exemption, and you owe actual tax (at 40%) only once you've exceeded that lifetime limit, so most people who make large gifts never pay gift tax — they simply use up part of their lifetime exemption and file a gift tax return to track it. This calculator estimates the reportable amount of a gift, the lifetime exemption used, and any tax owed. Enter the gift amount and your prior lifetime taxable gifts, and the calculator returns the reportable amount, the lifetime exemption used, and the estimated tax. The giver generally pays the gift tax, not the receiver, though the receiver may need to report large gifts in some cases. Gifts to a U.S. citizen spouse are unlimited and tax-free, and gifts to qualifying charities are deductible with no gift tax, so those don't count against the exemption. Payments made directly to a school for tuition or directly to a medical provider are also exempt from gift tax with no limit, beyond the annual exclusion — a valuable way to help family members with education or medical costs without using any of your exemption. Use this calculator to clarify the annual exclusion and lifetime exemption, estimate any gift tax owed, track your lifetime exemption usage, and plan a gifting strategy that transfers wealth efficiently to the next generation or to charity.
Disclaimer: This calculator provides estimates for educational purposes only and does not constitute financial, tax, or investment advice. Results depend on assumptions that may not reflect your actual situation.
Frequently Asked Questions
What is the 2026 annual gift exclusion?
$19,000 per recipient per year. You can give this amount to any number of people with no reporting required.
Who pays the gift tax — giver or receiver?
The giver generally pays. The receiver usually owes no tax, though they may need to report large gifts in some cases.
Do I owe tax on a gift above $19,000?
Not immediately. The excess counts against your $13.9 million lifetime exemption. You owe tax only after exceeding that lifetime limit.
Are gifts to spouses or charities taxed?
No. Gifts to a U.S. citizen spouse are unlimited, and gifts to qualifying charities are deductible with no gift tax.
Can I pay someone's tuition or medical bills tax-free?
Yes. Payments made directly to a school or medical provider are exempt from gift tax with no limit, beyond the annual exclusion.
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Written by
James MitchellSenior Financial Analyst & Personal Finance Expert
Certified Financial Planner (CFP) • MBA in Finance, University of Chicago Booth School of Business