Question

n 2016, Joshua gave $14,000 worth of Microsoft stock to his son. In 2017, the Microsoft shares were worth $23,000. What was the gift tax in 2016? The gift tax exemption in 2016 was the same as in 2017.

Answer 1

Answer:

$0

Explanation:

There is a provision that if the tax received on the money with respect to the valuation of the property is more than the $14,000 the same is to be taxable

Since there is $14,000 worth so no tax collection could be made on the gift amount

If the gift amount exceeds $14,000 the same is to be taxable

So the gift tax in 2016 would be $0