If I’m reading it correctly, the gift limit would apply to the purchase price of the stock, not the current value. As long as the stock isn’t converted to cash, the current value is potential rather than actual, and the actual value is the purchase price. That is what triggers capital gains/capital losses, the change from potential to actual value to compare to the original price.
If I’m reading it correctly, the gift limit would apply to the purchase price of the stock, not the current value. As long as the stock isn’t converted to cash, the current value is potential rather than actual, and the actual value is the purchase price. That is what triggers capital gains/capital losses, the change from potential to actual value to compare to the original price.