Federal Gift Tax Exemption 2025. The irs recently announced increases in gift and estate tax exemptions for 2025. The irs has announced that in 2025, the lifetime estate and gift tax exemption (the lifetime exemption) will rise to $13,990,000 (from $13,610,000);

After 2025, the higher estate and gift tax exemption enacted by former president donald trump will sunset without action from congress. The annual gift tax exclusion will rise to $19,000 per recipient, up $1,000.