As defined in classic philosophy, an axiom is a statement that is so evident or well-established, that it is accepted without controversy or question. As used in modern logic, an axiom is simply a premise or starting point for reasoning.
Financial Planner. Iâm often asked if someone can take an income tax deduction for money they gift to their children. Gifts to individuals are not tax deductible. Tax deductions can only be taken for gifts to organizations on the IRS list of approved charities. However, there is a way to get a partial deduction for money that will eventually go to your children. A charitable lead annuity trust (CLAT) gifts money to a charity first, and then passes assets to your beneficiaries.
You have to state by how much you gifted beyond the exemption and subtract that amount from your lifetime exemption of $5.25 million. This doesnât mean youâll owe any money right now. If in your lifetime you give away more than $5.25 million youâll be subject to a federal gift tax, currently 40%. That said, if you want to contribute to your sonâs wedding expenses directly â and itâs an amount that exceeds the annual gift limit â there is a way around the gift tax.