Originally published: May 2025 | Reviewed by Mary Conte
If you’re planning your estate in Florida, you’ve probably wondered about gift taxes and exemptions.
Florida doesn’t have its gift tax, but gifts over certain limits can still be taxed at the federal level.
Understanding these gift tax rules and the latest exemption amounts can help protect your assets and avoid surprise taxes.
Not all gifts are taxed the same way, and some types of giving don’t trigger any tax.
Knowing the annual and lifetime gift tax exemptions is worth knowing, especially with possible law changes coming at the end of 2025.
A gift tax is a tax on property or money you give to someone else without getting something of equal value back. Some gifts aren’t taxed, and there are important rules about who pays the tax.
The U.S. has a federal gift tax, but Florida doesn’t have a state gift tax. So, Floridians only need to worry about federal rules when giving gifts of money or property.
Most gifts don’t get taxed immediately because of an annual exclusion limit. As of 2025, you can give up to $18,000 per year to each recipient without filing a gift tax return.
If you give more than this amount to any one person in a year, you have to report it to the IRS. Even if you report it, there’s a lifetime exclusion amount.
Only if your gifts above the yearly limit total more than $13.99 million (as of 2025) will you owe federal gift or estate taxes. Estate tax works similarly but applies to money and property transferred after death.
You can check out the IRS gift tax page for more details. Florida residents can use these federal exemptions without paying a state gift tax. SmartAsset’s Florida gift tax guide has more info.
Usually, the person giving the gift pays any gift tax owed, not the person receiving it. You’ll need to handle the tax if you exceed the federal yearly or lifetime limit.
If you give more than the annual exclusion amount to several people, you must report all amounts above the limit. The receiver doesn’t report the gift as income, usually, they have no tax consequences.
Certain gifts are excluded from the gift tax, like most gifts between spouses, donations to charities, and payments for someone’s education or medical costs if paid directly to the school or provider. These don’t count toward the annual or lifetime limit.
Talking to a tax or estate planning professional might be smart if you’re unsure about your situation.
The IRS has bumped the annual gift tax exclusion and the lifetime gift and estate tax exemption for 2025. These updates can impact how families and individuals share wealth and plan their estates.
The IRS gift tax limits for 2025 let you give up to $19,000 per recipient each year without owing federal gift tax. This exclusion is per person.
For example, a parent can give $19,000 to each child in a year. A married couple can combine gifts and give $38,000 to each child without hitting the gift tax limit.
Gifts up to this amount don’t lower your lifetime gift exemption or require any IRS gift tax returns. This makes the yearly exclusion a handy strategy for transferring assets.
You can also give these gifts to non-family members, and there’s no limit on how many people you can provide for under the annual exclusion. The IRS usually updates this number every few years for inflation.
According to the IRS, the 2025 federal gift tax threshold for the lifetime exemption is $13.99 million per person. This covers all taxable gifts made over one’s life and assets passed at death.
Married couples can double this by combining their exemptions, letting them give away up to $27.98 million together without paying federal gift or estate taxes—any taxable gifts above the annual exclusion lower this lifetime exemption.
This exemption covers gifts to individuals and money transferred at death by will or trust. After the exemption is used, gift or estate taxes could be due at federal rates.
These limits are among the highest we’ve seen and could change, so it’s worth checking your estate plans occasionally.
Estate planning in Florida isn’t just about writing a will. Residents need to understand how state and federal gift tax laws affect them, including recent changes to exemptions and gifting strategies.
Several tools and exemptions can help Florida residents pass on their wealth while avoiding unnecessary taxes.
Florida doesn’t have its gift tax; only federal rules apply. This matters if you want to give away assets during your lifetime, like cash or real estate, without facing a state-level gift tax.
For 2025, the federal annual gift tax exclusion is $19,000 per recipient. This allows individuals or couples to give gifts to multiple family members tax-free annually.
Lifetime giving helps reduce the taxable estate and can be part of a broader estate tax plan. Giving assets now also lets recipients enjoy the gift sooner, which is great for retirees hoping to support their children or grandkids.
Large gifts, like real estate, might qualify for certain exemptions or special tax treatments. If structured properly
Some common strategies include annual gifts within the federal exclusion, direct payment of medical or tuition expenses, and charitable planning.
These approaches can be tailored to fit your family goals and take advantage of the Florida gift tax exemption in 2025.
Thoughtful planning helps reduce the burden for heirs and aligns gifts with your wishes. It’s worth having a plan that feels right for you.
Gifting assets or planning your estate? Start smart—Conte Mollenhauer Law Firm helps Florida families create legally sound wills and trusts that make giving easier and more meaningful.
If you’re ready to get started, call us now!
Some gifts don’t trigger the federal tax or affect the annual exclusion. These exceptions can help you support family or others while avoiding extra tax paperwork or costs.
Payments made directly to a medical provider for someone’s medical expenses aren’t subject to the federal gift tax.
So, you can pay for a child’s surgery or a grandchild’s hospital bills without counting against the gift tax limit, as long as the payment goes straight to the care provider.
Educational gifts work similarly. If you pay tuition directly to a school for someone else—a grandkid or even a friend—it’s not treated as a taxable gift. This exception doesn’t cover books, supplies, or room and board, just tuition.
There’s no limit to how much you can give under these rules, as long as you pay the institution directly.
Gifts between spouses don’t usually trigger the gift tax. You can give any amount to a U.S. citizen spouse without worrying about gift tax or using up your lifetime exemption.
This allows couples to transfer money or property freely. However, if your spouse isn’t a U.S. citizen, there’s a yearly limit on tax-free gifts.
In 2025, you can give up to $185,000 per year to a non-citizen spouse without federal gift tax. Anything above that might fall under tax rules.
Gifts to grandchildren aren’t fully exempt unless paid straight to medical or educational providers. It’s smart to plan those carefully to avoid taxes.
If you give gifts above a certain amount in a year, you must report them to the IRS using Form 709. Knowing who needs to file and how to stay on top of deadlines matters for anyone making large gifts or planning their estate.
If you give someone more than the annual exclusion amount in a single year, you must file Form 709. For 2025, that exclusion is $19,000 per recipient.
So, if you give anyone more than $19,000, you’re on the hook for reporting it. Married couples can use “gift-splitting” to combine their exclusions—gifts from both spouses to the same person can total $38,000 without filing, but both have to agree and submit their form.
Gifts to U.S. citizen spouses usually don’t need reporting unless they cover the unlimited marital deduction or involve gifts of future interests.
If you give a gift to a trust or pay tuition or medical bills directly to a provider, those might be excluded and do not need reporting.
You file Form 709 once a year, not when you make the gift. The deadline matches your federal income tax return, usually April 15 of the following year.
If you get an extension for your taxes, it also covers Form 709. If you need more time, just file Form 4868.
Keep records for all gifts made during the year when preparing the form. Save checks, bank statements, or signed notes showing each gift’s value and date.
It helps to keep a list, since all gifts for that year go on a single form, even if given to different people. Accurate reporting enables you to avoid IRS penalties or future estate headaches.
If you are unsure how to complete Form 709, the IRS has detailed instructions and other gift tax filing resources. Sometimes, it’s worth asking a tax advisor or estate planning attorney for help.
Are you making large gifts or planning to reduce estate taxes? Conte Mollenhauer Law Firm can structure your Florida gift tax plan to preserve wealth and keep things simple for your loved ones. Contact us now.
If you’re ready to get started, call us now!
Plenty of people mess up paperwork or forget how gifts affect estate taxes. Skipping good advice can cause headaches later, but knowing the rules now can save money and stress.
It is very common not to file Form 709 when required. If you give more than the annual exclusion—$19,000 per recipient in 2025—you must report it to the IRS.
Thanks to the lifetime exemption, you still need to file even if you don’t owe tax. Form 709 lets the IRS track everything you give away over your lifetime.
Skipping it can lead to penalties and mess up things when settling an estate. Married couples must file separate forms if both exceed the annual limit.
The table below shows when Form 709 is needed:
| Gift Type | File Form 709? |
| Gift below $19,000/year/recipient | No |
| Gift above $19,000/year/recipient | Yes |
| Split gifts between spouses | Yes, by both |
Keep good records and use the right form to avoid unwanted IRS attention.
Some folks think skipping Florida state tax means they’re in the clear. Not quite. Florida doesn’t have a state gift or estate tax, but the federal gift and estate tax still applies to bigger estates.
Every large gift you make during your life gets added to your estate’s total at death. Taxes may be due if the total goes over the federal lifetime exemption.
For 2025, the exemption is several million dollars, but that number can change. If you ignore how gifts affect your future estate, heirs could end up with surprise tax bills.
Reviewing yearly gifts against federal thresholds helps protect your family from extra costs.
Handling gift and estate plans alone can lead to missed steps or expensive mistakes. The rules get tricky, especially for big gifts, gifts to trusts, or property instead of cash.
A legal or tax advisor knows how to avoid gift tax in Florida and can guide you through state and federal requirements. They can spot tax law changes or find strategies for tax-free gifting.
Working with a professional gives families peace of mind and can help you pass on more to your loved ones. For more advice about working with advisors and understanding the Florida gift tax, visit Mary Conte Law.
If you’re ready to get started, call us now!
Working with a Florida estate planning attorney can simplify giving gifts and managing exemptions. Careful planning helps you limit taxes, follow the rules, and protect your wealth for the future.
A skilled Florida estate planner for gifting will look at what you own and how much it’s worth. Since each has different tax results and planning needs, they’ll suggest the best ways to give gifts—cash, stocks, or real estate.
Say you give away stocks instead of cash. That might help you avoid certain taxes and use growth to your advantage.
Florida estate attorneys also help set up yearly gift plans that use the federal annual gift tax exclusion. These plans allow you to give up to a set amount.
These strategies help keep your estate under the federal tax limit while passing more to your loved ones. Estate planning attorneys in Lake Mary, FL, can show you how gifts today might reduce future estate taxes.
Their advice is always tailored to your assets and family goals.
Florida doesn’t charge a state-level estate or inheritance tax, but federal laws have strict gift and estate tax rules. The best estate attorney near you in Florida will make sure you follow both federal and state laws.
Attorneys help track how much you give each year and handle any paperwork for the IRS. They’ll alert you to rule changes, like annual exclusion limits or shifts in federal exemption amounts.
If you’re working with an estate planning attorney in Florida, you have some interesting tools. Trusts, for example, can manage gifts and stagger transfers over time.
A trust might hold property for future use, guard your assets, or control when a beneficiary receives a gift. That’s especially useful for families with young kids or loved ones who need extra care.
Thinking long-term? You’ll want to consider the timing of gifts, too. An attorney can help you decide if it makes sense to give something now, spread it out, or wait until later.
Every option impacts taxes, family needs, and how much control you keep. Attorneys keep up with new estate and gift tax laws, so they’ll help you tweak your plan when rules shift or your family changes.
Protect your family, avoid federal gift tax issues, and leave a clear legacy. Book your private estate planning session with Conte Mollenhauer Law Firm and get your Florida trust drafted carefully.
What is the federal gift tax exemption for 2025?
The federal gift tax exemption for 2025 is $13.99 million per individual and $27.22 million per married couple, allowing gifts up to those limits over a lifetime without incurring federal gift tax.
Does Florida have a gift tax?
No, Florida does not impose a state-level gift tax. Residents are only subject to federal gift tax rules set by the IRS.
How much can I gift per person without paying taxes in 2025?
Under the IRS annual exclusion, you can gift up to $19,000 per person per year tax-free in 2025. Married couples can jointly gift $38,000 per recipient.
Who is responsible for paying the gift tax—the giver or receiver?
The giver (donor) is responsible for filing and paying any gift tax due, not the recipient.
What types of gifts are always tax-free?
Payments made directly to medical providers or educational institutions on behalf of someone else are 100% tax-free and do not count against annual or lifetime limits.
Do I need a lawyer for gift tax planning in Florida?
Yes, consulting an estate planning attorney in Florida ensures that your gifting strategy complies with federal laws, maximizes tax advantages, and avoids common IRS pitfalls.
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