Question

Can I receive more than $14,000 from someone if they gift it to someone else who then gifts it to me?

Forum|Forum|6 years ago
June 7, 2019
4 replies
0 views

For example, if this person wanted to gift me $28,000 in cash, could they gift me the $14,000 directly and then the other $14,000 through someone else who then send me the $14,000 gift?

TurboTax Deluxe Mac

Z

Zbucklyo

Employee

No the gift can't be left unreported by the giver, because that is an attempt to subvert the requirement to file Form 709, a gift tax return. The IRS will look at the substance of the transaction (gifting you $28,000) rather than the form of the transaction. Remember that if someone gifts you more than $14,000, they do not and you do not owe tax at that time - this just reduces the exemption from federal estate taxes from its current amount of about $5.5 million.

J

johnnysyAuthor

Does the giver have to fill out Form 709 every subsequent year to keep track of how much they've given over a lifetime even if the gifts they give in the future are always under $14,000? Do they also have to go back and calculate how much they've given from previous years?

O

Opus 17

Employee

Gifts are never taxable to the recipient.

Gifts of more than $14,000 per person per year must be reported to the IRS, but no gift tax is actually owed unless the lifetime amount of gifts plus the person's estate is more than $5.4 million. (And the president is trying to eliminate that.)

So you can do anything you want. The giver is the one who is trying to evade the law for some reason. If they are so wealthy that they actually owe gift tax, then they are guilty of tax evasion (if caught) and if they don't owe gift tax, they are breaking the law and making themselves look suspicious for no gain or benefit to themselves.

Also, beware that lots of scams begin with "gifts" that aren't really.

M

Moulid ahmed

My neme s [email address removed]

[address removed]

Employee

@Moulid ahmed Why are you trying to post your personal information to this very public website where it can be seen by anyone using the internet? What are you trying to do? Do you have an income tax question?

This is a public web site that can be seen by anyone—including scammers and would-be identity thieves who would love to contact you and pretend to be from TurboTax. Please remove the personal information you posted here ASAP by returning to your post and clicking the three little blue dots on the upper right to edit your post.

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**