$38,000 per recipient \u2014 both spouses consent on Form 709.

Form 709 always required?

Only if any recipient exceeds annual exclusion.

Unlimited if paid directly to school/provider.

$95,000 lump sum, 5-year election.

2028 Gift Tax Annual Exclusion

Q: 2028 annual gift exclusion?

$19,000 projected per recipient.

2028 annual gift exclusion: $19,000 per recipient (projected from $18,000 in 2027). $38,000 split gift MFJ. Lifetime exemption $15.4M projected.

Gift amount per recipient ($)

Number of recipients

Filing status

Tax-Free Total

—

Lifetime Used

—

Gift per recipient	—
2028 exclusion (split)	—
Recipients	—
Tax-free total	—
Lifetime exemption used	—

The 2028 annual gift tax exclusion is projected at $19,000 per recipient ($38,000 split-gift MFJ). Gifts above the annual exclusion use the lifetime exemption ($15.4M projected). Form 709 required only if any single recipient receives more than the exclusion in a year.

Per-Recipient, Per-Year

$19,000 (projected 2028) per recipient per year, unlimited recipients. Family of 6 = $114,000/year tax-free gifts. MFJ split-gift = double to $38k/recipient = $228,000/year for that same family. Reduces taxable estate without using lifetime exemption.

Direct Payment Exception

Tuition paid directly to school + medical bills paid directly to provider = unlimited, no exclusion used. Powerful for funding grandchildren's education above 529 limits.

Form 709 Trigger

Any gift to one person above $19,000 (or $38,000 MFJ split) requires Form 709 — even though no tax is owed until you exhaust the $15.4M lifetime exemption. Failure to file extends the audit window indefinitely.

529 Front-Loading

5-year election allows $95,000 ($190,000 MFJ) lump sum into a 529 plan, treated as $19k/$38k per year for 5 years. Excellent for grandparents accelerating college funding.

Last updated May 2026. Sources: IRS Gift Tax.