John made $3,400,000 in taxable gifts prior to his death at the beginning of 2018. His wife, Lola, is the executor of John's estate, and made taxable gifts of $800,000 prior to 2018. What is the maximum amount of taxable lifetime gifts that Lola can make in 2018 before she will have to begin paying a gift tax?

Question

Quizplus · Accepted Answer

The lifetime gift tax exemption for 2018 was $11,180,000. Since Lola has already made $800,000 in taxable gifts, she can make an additional $10,380,000 in taxable gifts before reaching the exemption limit.

John Made $3,400,000 in Taxable Gifts Prior to His Death