2024 Gift Tax Exclusion Rules. Iowa reduced continued to reduce its inheritance tax rate from 5 percent to 1 percent in 2024. Violating gift tax rules in 2024 can result in potential penalties, including the assessment of gift tax owed, interest on any unpaid gift tax, and even penalties for intentional tax evasion.

For 2024, the irs has increased the annual gift tax exclusion for individuals from $17,000 to $18,000. Gifts exempt from gift tax.