Friday, January 31, 2014
In December 2010, Congress voted to allow wealthy Americans to make tax-free gifts of up to $5 million. Wealthy Americans scrambled to take advantage of the law, resulting in $122 billion in nontaxable gifts on returns filed in 2012 (four times the amount in each of the previous two years). With the wealthy still concerned the law could revert, gift returns filed this last year could be even more dramatic.
See Richard Rubin & Margaret Collins, Tax-Free Gifts Quadrupled in U.S. After IRS Limit Lifted, Bloomberg Business Week, Jan. 27, 2014.