Form 709 Gift Tax: Do You Need to File? (Gift Tax Calculator)
Updated · Reviewed by Deepak Middha, Chartered Accountant
The short answer
For 2026 you can give up to $19,000 per person in present-interest gifts (ones they can use right away) without filing anything. Give one person more, or give a future-interest gift of any size, and you file Form 709, the US gift tax return — but filing usually means no tax: the taxable part just comes off your $15,000,000 lifetime exemption, and gift tax is owed only once that is used up.
Gift tax calculator: do you need to file Form 709?
You must file Form 709, but no gift tax is due — the taxable amount simply comes off your lifetime exemption.
- Gifts to Daughter are more than the 2026 annual exclusion of $19,000.
What to do next: file Form 709 by April 15, 2027 (an income tax extension also extends it). Plan more year-end giving with the year-end tax checklist.
Key takeaways
- Annual exclusion: $19,000 per recipient for present-interest gifts in 2026 (also $19,000 for 2025). A future-interest gift needs Form 709 at any size.
- Lifetime exemption: $15,000,000 for 2026, up from $13,990,000 for 2025.
- Married couples who split gifts can give $38,000 per person in 2026 with no taxable gift, but splitting itself requires Form 709.
- Tuition and medical bills paid straight to the school or provider are not gifts at all.
- Form 709 is due April 15 of the following year, and the donor — not the recipient — owes any tax.
Annual gift tax exclusion vs lifetime exemption (2025 and 2026)
| 2025 | 2026 | 2027 | |
|---|---|---|---|
| Annual exclusion, per recipient (present-interest gifts) | $19,000 | $19,000 | Not published yet |
| Gifts to a non-citizen spouse | $190,000 | $194,000 | Not published yet |
| Lifetime exemption (basic exclusion) | $13,990,000 | $15,000,000 | Indexed from 2027; not published yet |
| Top gift tax rate | 40% | 40% | — |
Two examples. A single parent gives a daughter $30,000 in 2026: $30,000 − $19,000 = $11,000 is a taxable gift, so Form 709 is required, but the tax is $0 — $11,000 simply comes off the $15,000,000 exemption. A married couple who split the same gift are each treated as giving $15,000, inside the exclusion: no taxable gift at all, though they still file Form 709 to elect the split.
Present vs future interest. The annual exclusion covers only gifts of a present interest — Rev. Proc. 2025-32 excludes the first $19,000 of gifts to any person “other than gifts of future interests in property”. In the Form 709 instructions’ words, a gift is considered a present interest if the donee has all immediate rights to the use, possession, and enjoyment of the property or income from the property. A gift is considered a future interest if the donee's rights to the use, possession, and enjoyment of the property or income from the property will not begin until some future date. Future interests include reversions, remainders, and other similar interests or estates. Gifts of a future interest are not eligible for the annual exclusion; you must file Form 709 even if the gift was under the exclusion.
Gifts that don't count toward the gift tax limit
- Tuition paid directly to a school — tuition only, not books, supplies or room and board.
- Medical bills paid directly to the provider, as long as insurance does not reimburse them.
- Gifts to your spouse who is a US citizen, which qualify for the marital deduction. For a spouse who is not a US citizen, up to $194,000 in 2026.
- Gifts to political organizations and certain exempt organizations, which the instructions also exclude.
A 529 plan contribution is a gift — it does not get the tuition exclusion — though Form 709 lets you spread a large one over five years.
Form 709 deadline and where the gift tax return goes
File between January 1 and April 15 of the year after the gift — by April 15, 2027 for 2026 gifts. Each spouse files their own return; there is no joint gift tax return. Extending your income tax return also extends Form 709; otherwise Form 8892 gives six more months to file, not to pay.
Received a gift from abroad instead? Form 709 is for gifts you give. A US person who receives a large gift or inheritance from a foreign person may need to report it on Form 3520 — see Form 3520: gifts and inheritances from abroad. Other forms your year may need are in the IRS forms hub.
Frequently asked questions
What is the gift tax limit for 2026?
The 2026 annual gift tax exclusion is $19,000 per recipient for gifts of a present interest, the same as 2025, under IRS Rev. Proc. 2025-32. You can give that much to any number of people without filing anything. Above it — or for any gift of a future interest — you file Form 709, and taxable gifts reduce your $15,000,000 lifetime exemption. Tax is paid only once that is used up.
Do I have to pay tax if I file Form 709?
Usually not. Form 709 is how the IRS keeps count of gifts above the annual exclusion against your lifetime exemption, $15,000,000 for 2026. Tax is due only once your lifetime taxable gifts pass that amount, so for nearly everyone the return shows $0 owed. The donor, not the person receiving the gift, is responsible for any tax.
What is the lifetime gift tax exemption for 2026?
It is $15,000,000 for 2026, raised from $13,990,000 for 2025 by the One Big Beautiful Bill Act. The same amount covers gifts during life and your estate at death, and it will be adjusted for inflation from 2027. Married couples each have their own exemption.
How does gift splitting work on Form 709?
If you are married, you and your spouse can agree to treat every gift either of you makes to others that year as made half by each of you. Each half gets its own exclusion, so a couple can give $38,000 to one person in 2026 with no taxable gift. You must file Form 709 to elect splitting, and your spouse consents on it.
Is paying someone's tuition or medical bills a taxable gift?
Not if you pay the school or the medical provider directly. The Form 709 instructions say tuition paid directly to a qualifying educational organization and medical care paid directly to the provider are not gifts at all, with no dollar limit. Books, room and board, or money handed to the person instead do count, and 529 plan contributions are not covered.
When is Form 709 due?
By April 15 of the year after the gift — April 15, 2027 for gifts made in 2026. If you extend your income tax return with Form 4868, that also extends Form 709. If you are not extending your income tax return, file Form 8892 for an automatic six-month extension. Neither extension gives you more time to pay any tax due.