911 / What gift tax exclusion applies, if any, for gifts made for education or medical expenses?

A “qualified transfer” is not considered a gift for gift tax purposes. A “qualified transfer” means any amount paid on behalf of an individual–

(A) as tuition to an educational organization¹ for the education or training of such individual, or

(B) to any person who provides medical care² with respect to such individual as payment for such medical care.³ A technical advice memorandum treated tuition payments for future years as qualified transfers where the payments were nonrefundable.⁴

1. IRC § 170(b)(1)(A)(ii).

2. As defined in IRC § 213(d).