California Gift Tax Guide (2026)
Everything you need to know about gift tax, estate tax, and inheritance tax in California.
California Tax Overview
California has no state estate, inheritance, or gift tax. However, real property transfers may trigger reassessment under Proposition 19.
Federal Gift Tax in California
Regardless of California's state tax laws, the federal gift tax applies uniformly. For 2026:
You can give up to $19,000 per person per year without any gift tax consequences. Gifts exceeding this amount count against your $15,000,000 lifetime exemption and require Form 709 filing.
Gift Tax Planning Tips for California Residents
Use the annual exclusion to make tax-free gifts to family members each year
Pay tuition and medical bills directly to institutions for unlimited tax-free transfers
Consider gift splitting if married to double your annual exclusion
Consult with a local estate planning attorney about state-specific considerations