Gift tax for education and room expenses

[taxmen2021]

Hi,

My child is a FT student at the college . The age is 20. If I paid directly to the college in total of $17,300.00 for the tuition , room and meals in 2023, do I need to file Gift Tax form 709 to the IRS? The student also has a loan  which can cover the room and meals expenses of the total bill for the semester.

Thank you.

[Mike9241 · Accepted solution]

Under current IRS rules, a payment made directly to an educational institution to pay for the tuition of a student does not count as a gift to the student for gift tax purposes. For example, a grandparent can avoid gift taxes by writing a check to the college for their grandchild's tuition instead of giving the money to the student or the student's parents. 

[taxmen2021 · Accepted solution]

Thank you Mike9241.