Does the $12,000 Gift Tax exemption to your children apply to your Nieces and nephews?

Question

There is a $12,000 ($24,000 for couples) Gift-Tax exemption for Children and Grand Children. Does the same exemption apply for Nieces and Nephews if you have no Children?

Answer 1

Gifts can be to anyone.  Neighbors, friends, children, nieces, etc.  Each individual is covered by a $12K annual gift exclusion.

If you were Bill Gates, you gift an awful lot of people....

Answer 2

It's for anyone, not just children or even relatives.   Any one person can give $12K per calendar year to any other person without having to file a gift tax return.