If I add a childs name to my house title as a joint tenant how do I use the lifetime gift tax exemption?

[Cam Smith]

Hi everyone, I was thinking about adding my son as a joint tenant to a rental property I own, If I do this it would probably be the equivalent of a $30,000 gift. I heard that there is a life time gift exemption of $5,250,000 in 2013. Obviously $30,000 is nowhere near that amount but does anyone know what the process would be for using this gift exemption? After I change the title on the property to joint tenants with my son how do I go about claiming the life time gift exemption to avoid taxes? Does anyone have any experience doing this? If we decided to sell the property in a couple years he would get half of the money is that correct? Here is some brief info I found about it online. http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/What's-New---Estate-and-Gift-Tax

• The annual exclusion for gifts is $11,000 (2004-2005), $12,000 (2006-2008), $13,000 ( 2009-2012) and $14,000 (2013).
• The applicable exclusion amount for gifts is $1,000,000 (2010), $5,000,000 (2011), $5,120,000 (2012) and $5,250,000 (2013).