Final answer:
Elijah and Anastasia can give a total of $672,000 in 2022 to their family using the annual gift tax exclusion of $16,000 per recipient, without tapping into their unified transfer tax credit. Each grandchild and each married child with their spouse can receive up to $32,000 from Elijah and Anastasia combined.
Step-by-step explanation:
Elijah and Anastasia can take advantage of the annual gift tax exclusion to give money to their family without incurring any tax liability or using any of their unified transfer tax credit. As of 2022, the annual gift tax exclusion amount is $16,000 per recipient.
With four married children, their spouses (sons- and daughters-in-law), and thirteen minor grandchildren, they have a total of twenty-one family members they may wish to gift to.
Each spouse can give $16,000 to each family member, so for Elijah and Anastasia combined, that's $32,000 per family member. Since they have twenty-one family members:
4 married children (x2 for spouses) = 8 recipients
13 grandchildren = 13 recipients
Thus, there are 8 + 13 = 21 recipients.
Elijah and Anastasia can give $32,000 × 21 = $672,000 in total to their family in 2022 without using any of their unified transfer tax credit or incurring any gift tax liability.
This takes into account both their immediate and extended family within the defined recipients.