Updated October 5, 2026. Quick answer: No. Virginia has no gift tax for a gift made in 2026. A Tax Commissioner ruling says the 1978 General Assembly “replaced the Inheritance & Gift Tax laws with an Estate Tax” for transfers made on and after January 1, 1980, and the Department of Taxation now says Virginia no longer has an estate or inheritance tax. The federal annual exclusion is $19,000 per recipient for 2026.
Putting a loan in writing? The interest limit, the signing rules and the time limit to sue, from the state’s own statutes: Virginia promissory note.
Virginia gift tax at a glance
| Item | What the documents say |
|---|---|
| State gift tax | None |
| What the documents say | The 1978 General Assembly replaced the Inheritance and Gift Tax laws with an estate tax for transfers on and after January 1, 1980; the estate tax has since been effectively repealed |
| State estate or inheritance tax | None today, with a narrow exception for certain remainder interests under the old inheritance tax |
| Federal annual exclusion, 2026 | $19,000 per recipient |
| Federal basic exclusion amount, 2026 | $15,000,000 |
| Source | Virginia Department of Taxation; IRS Revenue Procedure 2025-32 |
What the Virginia documents say
The ruling (a Virginia Department of Taxation Tax Commissioner ruling from 1982) denied a credit for gift tax paid because “no statutory authority now exists for allowing credit for gift tax paid”, either in the Estate Tax Act or in the federal code.
Estates, inheritances and gifts near death in Virginia
The Department’s Estate and Inheritance Taxes page says that “Virginia no longer has an estate tax” or inheritance tax, and that “certain remainder interests are still subject to the inheritance tax”.
What applies to a gift from a Virginia resident
Federal gift tax is separate and applies wherever you live. The IRS says gifts “not more than the annual exclusion for the calendar year” are generally not taxable gifts, and Revenue Procedure 2025-32 sets the 2026 annual exclusion at “the first $19,000 of gifts to any person”. The same procedure puts the basic exclusion amount at “$15,000,000 for calendar year 2026”. The IRS adds that “The donor is generally responsible for paying the gift tax”.
An illustration: a $50,000 gift to one child in 2026 is $31,000 above the federal annual exclusion, and Virginia adds no gift tax of its own on top of that. CMG’s gift tax limit and Form 709 who must file pages explain the federal side, and how Virginia taxes 401(k) and IRA withdrawals covers a gift of retirement money.
What the documents do not say
- No Virginia document read says in so many words that Virginia has no gift tax; the answer rests on the 1982 ruling’s statement that the gift tax laws were replaced and on the absence of any Department page describing a current gift tax.
Common mistakes
- Assuming a 1978-era Virginia gift tax return is needed; the General Assembly replaced those laws for transfers on and after January 1, 1980.
- Assuming the state answer settles the federal one, or the answer for a gift of property located in another state.
Related: the federal gift tax limit, gift tax by state, estate tax by state, and Virginia probate cost.
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Answer againSources
- 82-148 (Rulings of the Tax Commissioner): https://www.tax.virginia.gov/laws-rules-decisions/rulings-tax-commissioner/82-148
- 15-93 (Rulings of the Tax Commissioner): https://www.tax.virginia.gov/laws-rules-decisions/rulings-tax-commissioner/15-93
- Estate and Inheritance Taxes: https://www.tax.virginia.gov/estate-and-inheritance-taxes
- Revenue Procedure 2025-32 (Internal Revenue Service): https://www.irs.gov/pub/irs-drop/rp-25-32.pdf
- Frequently asked questions on gift taxes (Internal Revenue Service): https://www.irs.gov/businesses/small-businesses-self-employed/frequently-asked-questions-on-gift-taxes
Sources: the primary documents linked above, read on October 5, 2026. General information, not tax advice. Your own facts decide the outcome, and a tax professional or the state agency itself is the right place to confirm anything consequential.