US federal Gift tax rules.?

It does not mean "the first $5.34m you receive as gifts". The amount varies from year to year, and the limit is on how much a person can give, not on how much they can receive. It means the first (however many dollars it is) that a person gives as gifts. For example, if you receive $1 each for 200 million different individuals, none of whom gave anything to anyone else, then there is no tax, even though you got $200 million, but if you give $100,000 each to 200 different individuals, then there is tax, then even though each person received only $100,000, you still pay tax, because you gave $20,000,000.

To further confuse the issue, the limit varies from year to year and the limit for any person is based on the year that the person dies, not the year of the gift, so you can't know when you give it whether it's going to be over the limit or not.

It is not a gift tax (return) but a gift (tax return). It is mostly an informational return. You are not automatically taxed because you gave someone more than 14k but it needs to be reported.

You will not necessarily be "taxed" for a gift over $14K. That's the threshold that requires a gift tax return to be filed. See IRS Form 709 and the associated instructions.

Unless she gets her own $5 Mil to give away tax stays at zero.

The first 5 million you GIVE. Gifts are not taxable to the recipient, they are taxable to the GIVER.

No cost to her for that amount.

Yes.

NO.. the $14,000 is an annual limitation if you get more there is a tax.....

right.