Family & inheritance
Gift tax applies to gratuitous transfers made during a person's lifetime; the exemption amounts depend on the degree of kinship.
Gift tax applies to gratuitous transfers made during a person's lifetime, such as money, securities or property handed over without the recipient providing anything in return. It is closely related to inheritance tax and is meant to prevent wealth from being passed on tax-free through gifts.
How much stays tax-free depends on the degree of kinship: the closer the family relationship between giver and recipient, the higher the exemption tends to be. Only the part of a gift that exceeds the applicable exemption is taxed.
The specific exemptions and tax rates are set by law and can change. For your own planning, particularly with larger transfers, a careful review, ideally with professional guidance, is sensible.
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