Unlike deductions for charitable contributions to IRS-recognized organizations, there is no income tax deduction for gifts you make to individuals. What’s more, if gifts of cash exceed the annual gift tax exclusion—$15,000 in 2021; $16,000 in 2022—you must file Form 709, but in most cases no gift tax will be owed because of the lifetime exclusion.
A 12-month period ending on the last day of any month other than December. Partnerships, S corporations, and personal service corporations are limited in their choice of fiscal years and face special restrictions.