- I understand that there is a $16,000 limit on gifts to each child, grandchild, etc. by each parent each year.
- I understand that if a child or grandchild is attending college, paying their tuition does not count as a gift.
First, have I got these two points correct? Are there additional conditions on the second point?
Second, suppose I pay a child's medical or home maintenance bill directly? Is that considered subject to the annual limit?
Third, I understand from another post on this exchange that if my annual giving exceeds $16,000, then the excess is subtracted from my allowed threshold for estate taxes. Is that correct?