Solved

My parents are us citizens They sold a property in South Korea for $ 1.5 millionWhat are the tax consequences if they wire full amount to my checking account in US

Forum|Forum|7 years ago
June 5, 2019
1 reply
0 views

I’m a us citizen

TurboTax Premier Online

Best answer by Opus 17

There are no tax consequences for you.

As US citizens, your parents are required to file a US tax return and pay capital gains tax on the gain (amount the property increased in value since they bought it.) They also have to file a gift tax return to report the gift to you, and possible pay gift and estate tax depending on the lifetime amount of large gifts they have given. But you don't pay tax on a gift you receive. And you don't even have to report a gift from a foreign person of more than $100,000 because, if your parents are citizens, they aren't "foreign persons" for that reporting requirement.

O

Opus 17Answer

Employee

There are no tax consequences for you.

As US citizens, your parents are required to file a US tax return and pay capital gains tax on the gain (amount the property increased in value since they bought it.) They also have to file a gift tax return to report the gift to you, and possible pay gift and estate tax depending on the lifetime amount of large gifts they have given. But you don't pay tax on a gift you receive. And you don't even have to report a gift from a foreign person of more than $100,000 because, if your parents are citizens, they aren't "foreign persons" for that reporting requirement.

A

andrewlee6Author

The property that my parents sold was not bought by them instead the title was transferred to my father by his brother the property belonged to my fathers brother. is this considered capital gain ?
Also my parents haven’t never given large gifts so do they have to pay gift and estate tax ?
Thanks