Charlie makes the following gifts in the current year: $40,000 to his spouse,$30,000 to his church,$18,000 to his nephew,and $25,000 to a friend.Assuming Charlie does not elect gift splitting with his wife,his taxable gifts in the current year will be
A)$13,000.
B)$15,000.
C)$25,000.
D)$41,000.

Question

Quizplus · Accepted Answer

B)($18,000 - $14,000)+ (25,000 - $14,000)= $15,000.The gift to his spouse and the charitable gift are not subject to gift taxes.

Charlie Makes the Following Gifts in the Current Year: $40,000