Absorption costing, which is also known as full absorption costing or full costing, is a method for accumulating fixed and variable costs associated with the production process and apportioning them to individual products.Thus, a product must absorb a broad range of costs.The key costs assigned to products are:bsorption costing, which is also known as full absorption costing or full costing, is a method for accumulating fixed and variable costs associated with the production process and apportioning them to individual products. Thus, a product must absorb a broad range of costs. The key costs assigned to products are:
The Annual Gift Tax Exclusion. The annual gift tax exclusion was indexed for inflation as part of the Tax Relief Act of 1997, so the amount increased in subsequent years to keep pace with the economy. Below is a chart that shows the increases in the annual exclusion from 1997 through 2015.
The gift tax exclusion does apply cumulatively to both 529 plan and Coverdell contributions in the same year. As of 2012, the annual gift tax exclusion is $13,000 per person, per year. For example, if you put $2,000 in a Coverdell and $13,000 in a 529 plan for your son, you're over the annual exclusion.If you're over the annual limit, you won't owe any gift tax until you've used up your lifetime gift tax credit, but you will have to file a gift tax return.or example, if you put $2,000 in a Coverdell and $13,000 in a 529 plan for your son, you're over the annual exclusion. If you're over the annual limit, you won't owe any gift tax until you've used up your lifetime gift tax credit, but you will have to file a gift tax return.