Examples of el cheapo in a sentence. took an el cheapo vacation, staying at a friend's cabin the whole time.
Exclusions. The entire $50,000 you give isn't vulnerable to taxation. The IRS allows exclusions, a dollar limit you can give away tax-free. As of the 2012 tax year, the exclusion amount is $13,000 for each person you make a gift to. If you're married, you can double that: you and your spouse are each entitled to give away $13,000 per person.
Most taxpayers can avoid paying a gift tax. As of 2012, each U.S. taxpayer can give up to $13,000 tax-free, the annual exclusion amount set by the Internal Revenue Service. This limit is subject to change. For example, from 2006 through 2008, it was $12,000.s of 2012, a married couple can give up to $26,000 tax-free, referred to as gift splitting.. If you pay tuition or medical expenses for someone, you don't have to pay tax on the money. Gifts to your spouse are also tax-free.