Hi John ... for 2013 the number is $14,000 (It's called the annual exclusion amount)
Further, the gift isn't taxed (gift transfer taxes) to the recipient, but rather the giver of the gift is taxed
And finally, the lifetime exclusion on gifts is $5, 250,000 .. so even if the giver needed to file the gift tax form (IRS form 709), there would be no tax until the giver has gifted (or transferred at death) a total of $5,250,00 (for 2013 ... the exclusion amount is scheduled to go up each year) ... the 709 from is just an informational return, used to track the lifetime gifts, so that they can be netted against the estate tax exclusion at death,
And on the days of wait.... the exclusion amount is based on the giver's tax year (*for most individuals, that's the calendar year)
Hope this helps
... let me know if you have any questions at all
Thanks, Lane. So then I understand the total amount the recipient can receive from another individual or party as a gift is 14 thousand annually. Since it is taxable on the giver, that raises the question; can the recipient receive a gift from two different parties of up to 14 thousand each, or does the 14k limit apply also to the recipient's annual total gifts from all parties?
Interesting. So, if two family members, for example, give me a gift of not more than 14 k each for a given fiscal year, I would not be required to claim it on my tax return for that year?