annual exclusion amount

Definition of "annual exclusion amount"
  1. A yearly limit set by the IRS, adjusted for inflation, that anyone can gift to a recipient without triggering a federal gift tax
How to use "annual exclusion amount" in a sentence
  1. Her financial planner advised her to stay within the annual exclusion amount to avoid the gift tax.
  2. The couple efficiently managed their wealth by utilizing the full annual exclusion amount for their grandchildren.
  3. The IRS announced the increase in the annual exclusion amount which will potentially lower the taxable estate.

Provide Feedback
Browse Our Legal Dictionary
# A B C D E F G H I J K L M N O P Q R S T U V W X Y Z