For 2015, a taxpayer can give a gift valued up to $14,000.00 per person without it being taxable.
This can include, for example:
1. 529 funding to children
2. Cash, stocks or bonds gifted to children
3. Gifting a car to a relative (up to $14,000.00)
There are some exceptions to the rule, however. (No exclusion limit)
1. Tuition or medical expenses paid directly to the medical or educational institution for anyone (regardless of what you gifted).
2. Gifts to a political organization
3. Gifts to charities
4. Gifts to your spouse (up to the marital deduction amount)
If married, you can choose to do gift splitting which means that if, for example, you decide to fund your child's education, you can put a total of $28,000.00 into the child's 529 and not be required to pay tax on any of the money.