With Christmas approaching, I have the perfect gift suggestion  – Buy someone a house!  As I’ve noted before, houses prices here in the Boise area have bottomed.  If you are the parents of a young married couple just beginning their life together, you can gift them up to $104,000 tax free.

Let me explain:  For 2009, the Gift Tax exclusion amount is $13,000 per person, with no limit.  So, a mother and father could each gift their respective child and child-in-law $13,000 for a total of $52,000.  If they do that on December 31^st, and then again in January 1^st, that’s a total of $104,000!

Of course, you would first want to double-check with a lawyer, or tax consultant for the best strategy based on your particular financial situation.  But what a whale of a gift!