Complex sentence: The purpose of the gift tax is generally to encourage generosity between parties and to help the distribution of wealth however there are some limits, including that you are not able to transfer an interest of a loss as part of the gift.
Split into simpler sentences: The purpose of the gift tax is generally to encourage generosity between parties and to help the distribution of wealth. However, there are some limits, including that you are not able to transfer an interest of a loss as part of the gift.