The gift tax. You may have heard of it but what is it really?
The gift tax is a federal tax on the transfer of cash or assets to another individual while getting less than its full worth is received in return.
This may sound scary but generally, most people don’t have to worry about this tax unless they are giving over $15,000. If you do happen to go over that, you may have to fill out a gift tax form with your annual tax return.