The federal gift tax is a tax on the transfer of property from one individual (the donor) to another (the donee) when the donor receives nothing—or less than full value—in return. The tax applies whether the donor intends the transfer to be a gift or not.

The gift tax applies to the transfer of a gift of any type of property. You make a gift if you give property (including money) or the use of or income from property without expecting to receive something of at least equal value in return. If you sell something at less than its full value or if you make an interest-free or reduced-interest loan, you may be making a gift.

For additional information, see Internal Revenue Service (IRS) Form 709 and its instructions.

The federal gift tax is applicable to individuals who transfer property without receiving something of equal or greater value in return, and this rule is consistent across all states, including Florida. The tax is imposed on the donor, not the recipient, of the gift. The Internal Revenue Service (IRS) oversees the enforcement of this tax, and individuals are required to file IRS Form 709 if they give gifts that exceed the annual exclusion limit, which is $16,000 per recipient for 2023. It's important to note that there are some exceptions to the gift tax, such as gifts to spouses, gifts to a political organization for its use, and gifts to qualifying charities. Additionally, there is a lifetime exemption amount that individuals can use before they actually owe any gift tax. For any specific concerns or for assistance in filing the appropriate forms, it is advisable to consult with an attorney who specializes in tax law.