Question

Question about form 3520

Forum|Forum|6 years ago
June 6, 2019
3 replies
0 views

If someone receives gift from a foreign person and needs to fill out form 3520. on page 1, do you only need to fill out information on 1. 2a to 4f seems to be n/a. correct? do you need to fill out donor's name somewhere, if it's an individual.

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G

GeoffreyG

Employee

The answer to your question is that you don't actually need to disclose the name(s) of the foreign person(s) making the gift in excess of $100,000 (which triggers the requirement to file Form 3520 in the first instance).

However, you certainly can do so if you wish, by entering their name in the description of the gift itself, in Section IV, Item 54(b), on Page 6 of Form 3520. For example, you could report something there like "John Lee, grandfather, gave gift of $$$ in US Dollars."

For more information on Form 3520, a discussion of it, and how to file this with the IRS, please refer the following AnswerXchange post:

https://ttlc.intuit.com/questions/3686254-i-need-to-file-form-3520-this-year-can-i-still-use-turbotax-this-year-if-i-can-how-could-i-file-form-3520

Speaking strictly of Form 3520 being used to disclose a foreign gift (Form 3520 has other purposes as well), you would want to fill out only the sections indicated by Yellow Highlighter, as found in the screen-capture images attached to the text, directly beneath this answer; simply click the pictures to open. Essentially, you are (mostly) right about what you need to fill out here, as you write in your original question.

Thank you for asking about this important subject.

Q

qlet

Your answer is so helpful, I have question on item 54a, is that possible to combine the date when I received the gift by wire transfer? Example 05/18/17 and 05/21/17> Thank you .

R

Robocop2020

Hi,

did you ever get an answer whether initial or final to select /or just leave it blank on 3520 for the gift? I am in same situation. Please let me knkw

R

rao_j

I can't get any answer from anyone. Did you ask some tax prepare ? if you get it , please let me know how to do it. some one said initial and some one said final.

R

Robocop2020

I got the response, it should be left blank as you initially suggested. Refer to this:

https://ttlc.intuit.com/community/taxes/discussion/re-3520-box-a/01/2051825/highlight/false#M738988

C

Cici123

Hello

From IRS website

_____________

You are a U.S. person who, during the current tax year, received either:

More than $100,000 from a nonresident alien individual or a foreign estate (including foreign persons related to that nonresident alien individual or foreign estate) that you treated as gifts or bequests;

________________

Quick question, if my parents both wire $80,000 individually within one tax year. ( Sum as $160,000)

Do I need to file 3520 form?

Really appreciate for the help!

R

rao_j

I think you need Form 3520 due to the amount you got over $100,000 currently tax year.

DaveF1006

@Cici123 Yes, to expand what rao_j just mentioned, let me share what is written in this IRS.com post.

You are a U.S. person who, during the current tax year, received either:

More than $100,000 from a nonresident alien individual or a foreign estate (including foreign persons related to that nonresident alien individual or foreign estate) that you treated as gifts or bequests;

Since Mom and Dad are related, then form 3520 must be filed because the combined total is than $100K.

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