For 2009 and 2010 the gift tax exclusion is $13,000. One person can give $13,000 to another gift tax free. A mother and father could give $13,000 each, for a total of $26,000 and so on.
Highest gift tax rate is 45% for amounts exceeding that.
I’ll give my money to whoever I wish and for whatever amount I wish. I have NO intention to ever tell Big Brother what I do with my after tax money. PERIOD.
45% is still darn high