Is your 2015 tax liability higher than you’d hoped? Giving away assets will help reduce the size of your taxable estate. And with these three strategies, gifting appreciated or dividend-producing assets can also reduce your income tax liability — and perhaps your family’s tax liability overall.

1. Gift appreciated or dividend-producing assets to loved ones eligible for the 0% rate. The 0% rate applies to both long-term capital gain and qualified dividends and are for those who fall within the 10% and 15% income tax brackets.

2. Gift appreciated or dividend-producing assets to loved ones in lower income tax brackets. Even if no one in your family is eligible for the 0% rate, transferring assets to loved ones in a lower income tax bracket than you can still save taxes overall for your family. This strategy can be even more powerful if you’d be subject to the 3.8% net investment income tax on dividends from the assets or if you sold the assets.

3. Don’t gift assets that have declined in value. Instead, sell the assets so you can take the tax loss. Then gift the sale proceeds.

Get the right advice. If you’re considering making gifts to someone who’ll be under age 24 on December 31, make sure he or she won’t be subject to the “kiddie tax.” And if your estate is large enough that gift and estate taxes are a concern, you need to think about those taxes, too. It’s important to understand how these strategies work. For more detailed information, contact one of our tax advisors.