GIFT SPLITTING

Definition

Gift splitting allows a married couple to elect to treat a gift by one spouse has made one-half beach, effectively doubling the annual exclusion and leveraging both spouses' lifetime exemptions.The election requires both spouses' consent and consistent reporting on separate Form 709 filings.

Common Usage

For large annual gifts, married couples elect gift splitting on Form 709 to double the exclusion.Advisors track elections and ensure both spouses file consistently.