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 a nationwide tax that applies to the transfer of property from one person to another when the transfer is made without receiving something of equal value in return. This tax is governed by federal law, not state law, so it applies in Kansas just as it does across all other states in the U.S. The tax is required to be paid by the donor, the person giving the gift, not the donee, the person receiving the gift. The Internal Revenue Service (IRS) oversees the enforcement of this tax. Each year, there is an annual exclusion amount for gifts that can be given without triggering the gift tax; amounts above this exclusion may require the filing of IRS Form 709 and potentially paying the tax. It's important to note that certain gifts, such as those to a spouse or for medical and educational expenses, may be exempt from the gift tax. Individuals in Kansas considering making significant gifts should consult with an attorney or tax advisor to understand the implications of the federal gift tax and any potential state-level considerations.