Outright Gifts (cash or property): Gifts you give with no expectation of repayment or other obligation are tax-free to your recipient. However, significant gifts may have reporting implications for you in that a Gift Tax return may need to be filed and, in some extreme situations, you may have to pay a gift tax.

If you make a gift of property, such as a house or stock, your original cost basis is part of the gift, so you’ll be doing your recipient a favor if you provide that information. (If the asset has gone up in value, you might consider leaving it as part of your estate instead. Speak to an estate planning attorney to evaluate your options.

Disguised Gifts (below market sales): “Sales” of assets for a nominal amount far less than what the asset is worth are generally considered to be gifts for tax purposes.

Employee Stock: Giving shares of stock that were purchased at a discount through an employer’s purchase plan have additional consequences, including a triggering a potential immediate taxable event for you, the donor.

As always, consult your tax advisor before making any significant decisions.