So if it's not a family member I will have to pay taxes on it. So for Example I want to pay a million dollars for a business in cash what would be my best option?
@NguyenCPAs2 жыл бұрын
Please elaborate. If you're receiving a gift from anyone, you don't pay taxes on it. If you give a large gift to anyone, you have to consider gift/estate tax.
@agarc7762 жыл бұрын
So help out if you can. My wife and i are planning ahead. If I die and my wife receives my life insurance and wants to give each of my 3 kids $30k each is she going to pay taxes?? Or if she fills out the 709 she can avoid those taxes? If so when does she fill it out at the time of the gift or when filling taxes?
@tonytran50192 жыл бұрын
Thank you so much bro for the amazingly clear presentation.
@sy_ox Жыл бұрын
@@agarc776 you have to look into creating a living trust to avoid probate and an irrevocable trust so you don't have to pay for estate taxes based on your local state tax laws.
@cwilliams893416 сағат бұрын
Excellent information and I love the humor!
@boyboy-xe6rx Жыл бұрын
And any years we exceed annual yearly gift tax exempt amount, we just only need to fill IRS Form 709, do not need to do anything else to let IRS know we would like it to be deduced from life time exclusion amount and do not worry about paying gift tax as long as we did not exceed life time estate exclusion amount which I guess is $12.92 million in 2023. Is my understanding correct?
@meganobrien3167 Жыл бұрын
This was so helpful for my situation! So hard to find this clearly explained. Thank you!!
@charleshenry80752 жыл бұрын
Thank you! Veryy clearly presented. I appreciate your time.
@NguyenCPAs2 жыл бұрын
Glad it was helpful!
@awake1948 Жыл бұрын
This was a very clear explanation of the gift/estate tax. I glad I watched it.👍👍
@andrewx78062 жыл бұрын
So unless someone gives away more than 12 million dollars n their life there’s no tax. that be 24 million for a couple. They only requirement is filing a 709 form which the irs uses in tracking your total. Question: How long has the gift tax been this way, linked to the estate? Was it different a few years ago where any gift over 14k or so was taxed?
@CindyYangLee10 ай бұрын
Thank you!!! This was exactly what I was looking for.
@chuuniniruka2 ай бұрын
Very helpful explanation. Love your energy. Thanks!
@tamarapaz41603 ай бұрын
great video, thanks!
@vincentscarangella25859 ай бұрын
Thanks for explaining this very well!
@M1GHT_is_R1GHT9 ай бұрын
My brother recently passed February 2023. He was hurt at work in 2012 and awarded a large insurance payment. As we wait for courts to free up the large portion of estate, my sister and I have bills our parents no longer have, our parents decided to help my sister and I by giving us the proceeds from the sale of the house which was $1m. $500k was split between my father and my sisters mother as they had guardianship. Her mother will give her $500k - my father will give me $500k ...This is inheritance money so our parents do not need to pay taxes, however my father mentioned we may have to - which brings me to this video... What is your suggestion on how to pay least amount of taxes? I was told parents can give loans under $10k multiple times (possibly unlimited amount of loans under $10k) without having to notify IRS nor show if the loan was repaid... Q1: would this be the best way? Each parent loan us $9,500... or $7500 every week up to the 500k? or should it be separated further into 2 or every 3 weeks? Maybe start off with giving first $100k gift and fill out form 709 as you said in your video, then move to $9k payments? Q2: My brothers estate was worth $15m - My father and his mother are divorced so she gets $7.5m and my father $7.5m ...if I followed what you said in this video... with each parent estate being under that 12m you mentioned... both fall under that lifetime estate exclusion? when passed down to us, we would not have to pay taxes? My goal is to invest every penny after I pay off $2k in outstanding bills, and buy a used truck. I want to live off the dividend payments from investments. any help on this would be greatly appreciated
@phillip3308Ай бұрын
It depends on the information. I hope that as you do this more, you will get better at the transition between the information.
@qt516011 ай бұрын
ty, i was looking for this answer n explanation!
@rayarellano82132 жыл бұрын
Very informative, So if my mom gifted me and my spouse 80K in cash, who will be filing the 709 form? The giver or the recipient?
@gamer_rrice593 Жыл бұрын
Like he say in the video the giver
@psdaengr9117 ай бұрын
If you have an asset in an account (other than an IRA or 401) with a beneficiary the asset isn't part of your estate when you die. It is transferred to the beneficiary with no tax.
@neeky9635Ай бұрын
Can you please explain the foreign gift money and taxes please?
@boyboy-xe6rx Жыл бұрын
Very nice explanation. Very helpful. Thank you.
@Oregonluver Жыл бұрын
My question is how much people can give you money and it be ok? Like can all my relative gift me 10k and the total is 100k still be ok and wouldn’t be a problem with the bank or irs? Getting ready to buy my first house after graduation
@themekanic0696 ай бұрын
Great video. Thanks
@karena907016 күн бұрын
Thank you.
@zhang_han2 жыл бұрын
How does this work if one's parents are not US citizens and are also not US residents? Would I be paying taxes on gifts they give me?
@kaosapprentice Жыл бұрын
Great question I would also like to know the answer to.
@DailynDKim Жыл бұрын
How do parents outside the US pay tax for the gift above $32,000?
@davidwang9998 Жыл бұрын
You may want to look at Form 3520
@dlg54859 ай бұрын
This falls under the foreign gift topic that he discussed. You would have to disclose it since they are not US citizens, but there wouldn't be any tax liability.
@alexcolombu10255 ай бұрын
Just found the channel and I subbed my guy.
@raymondjoseph7177 Жыл бұрын
So if i earn 100k and gift my child 15k i still pay income tax on the 100k or is my income tax now based off 85k?
@BeefJerky_FromNewJersey Жыл бұрын
100k because that’s all earned income.
@qt516011 ай бұрын
basically you can’t get credit deduction gifting the amount
@Tommy-ev2vl9 ай бұрын
You get a tax reduction don’t you? You don’t drop a bracket but you should be able to say that’s paid taxes right?
@buzz961Ай бұрын
if your mother gives you 5 acres of land that was bought for 15000 but now worth 75,000 do you have to pay gift tax on that land?
@beerguyflake2745 Жыл бұрын
Curious , if one is the recipient of go fund me ( medical bills) do they have to paid taxes?
@VANESSASVANLIFEJOURNEY4 ай бұрын
Thanks
@ashleylittle4142 Жыл бұрын
What do you mean by the comment at the beginning of equity in a house
@anonymousanonymous-xc9wz Жыл бұрын
I am in Canada I am a newspaper carrier I do not get paid by hour no taxes are taken off my checks I received money in Christmas cards from customers that they leave for me in mail boxes I do not need to report it on income tax its between customers and me can you respond
@wayneguy60438 ай бұрын
If a parent gives a kid $200,000 in cash and they put it in a safe there is no trail and when you get audited say you lost it at the casino
@ashtonsmith3102Ай бұрын
Thanks for the video .
@j.y.3604Ай бұрын
So if I want to pay off my child's $12,000 student loan should I give him the check and have him pay it off or should I send the check to their student loan association from my checking account?
@luckspell16 күн бұрын
What if you get robbed and the police say it was a gift?
@michaelsmith5463 Жыл бұрын
QUESTION: How much can I receive from different people?--Instead a running a charity, can I receive "gift" money up to the yearly limit per person; but unlimited total amount??
@jinxy1279 Жыл бұрын
That was helpful, thx
@shashgo5 ай бұрын
So if I receive a gift in the US from my parents who live overseas, what is the limit on the amount of that gift, and do I need to file form 3520 regardless of the amountt? What if I were to get a gift in the US from a US person, what is the limit and then do I have to report that gift? For the year 2024
@RogerCadet2 жыл бұрын
What if the company you work for gifts you a car worth over $15,000 and then you sell it, does the recipient have to pay income taxes on that the following year?
@sylviaaa388710 ай бұрын
You have to report the FMV of the gift to IRS. This is considered a compensation to you. So once you pay taxes on that, and you sell the car for the same price you report no gain
@mrbigcat92 ай бұрын
Can I gift the maximum amount for that tax year to a friend for their life span?
@Ru44445 ай бұрын
If u give money to ur friend, how they IRS know that its a gift and not for work done?
@CrazyMagyar4 ай бұрын
My wife recently cashed in her 401(k), with 20% in taxes automatically being deducted. After we paid off all of our debts, we transferred the remaining $40,000 into my savings account. My wife and I share finances, and we file “married filing joint“ every year on our tax return. The $40,000 is technically both of ours, but the savings account is only in my name… My wife already paid taxes on the remaining $40,000, but will it look suspicious if that money is now in my savings account when it comes time to file taxes? I understand I will have to pay taxes on any interest that money earns in my account, but will we have to pay taxes on the $40,000 again?
@evonlightfoot6659 Жыл бұрын
Question: Say for example: I may make 100k a year... I generally pay Income Tax on $88,500 due to a standard deduction. I'm liable to pay the taxes for $88,500. If I gift $6,300 to pay my nephews car bill for the year, I don't pay gift tax, but am I still paying taxes on the $88,500 after my standard deduction? Here's the math in my head... $6,300 (gift) / 7 = $900 $900 X 10 = $9000 (income) $9,000 X .30 = $2,700 Taxes based on Income Tax before I give the gift (I always assume 30% in total). Is this correct? Basically, do I need to pay taxes on the income before I give the gift? Or when I give the gift it almost becomes tax deductible?
@kiranmarrapu8 ай бұрын
When a parent gifts 17K (in 2023) to a child, does the parent show that expense in tax liable income? Does 17K directly deducted from tax liable income in 2023?
@diegocuadros9097 Жыл бұрын
Hello. Quick q. What if your parents pay directly your credit card entity such as American Express? Would that go toward the “unlimited” tax exclusion?
@BrilloHead2 ай бұрын
Not if your gift exceeds the yearly gift allowance per person set forth by the IRS
@rossgooding74236 ай бұрын
Hip Hop track is FIRE❤🔥❤🔥❤🔥
@lizfindley1226 ай бұрын
I bought a $5000 lawnmower for my son. I put it on Capitol one credit card for the points. I will pay it off next week. Can I take this as a gift tax exclusion?
@aanthony343 Жыл бұрын
Thank you!
@kurpal8904 Жыл бұрын
Is the IRS Form 709 difficult to complete? I have one transfer of stocks only and would like to save hundreds to have a firm help assist for me.
@theonlyEYEBROWKING5 ай бұрын
So how much taxes you pay if you give pass the 12 million limit????
@nayeliguzman172 Жыл бұрын
Great video but I wish you would keep up with the questions/comments. I would have subscribed if I saw you responding to your viewer’s questions. Hope my comments helps your channel in some way.
@amitdhawan39956 ай бұрын
HI Jason, very nicely presented, Thanks so much. Can you please clarify if i want to gift a property to my Mom in India who is not a US Resident. how do i report that , say the property is 100K. I am giving the apartment that i owned as a gift to my Mom
@mrbigcat95 ай бұрын
Can give a gift the the same persons every for the next 20 years if I stay below the maximum for each year?
@jay9yo2 жыл бұрын
So, I guess it doesn't matter, tax- wise, whether you give your adult kids 16k per year or make them wait to inherit your estate? And is the estate tax different in each state?
@NguyenCPAs2 жыл бұрын
Unless you got a crazy estate. Yes estate tax and rules differ state to state
@Nnnqqq6895 ай бұрын
Thank you for the information. May I inquire if I need to pay tax when I, as a green card holder, gift $350k to my husband who is a U.S. citizen? Additionally, I reside in California. Would there be any state tax implications? Thank you
@queenbombus6 ай бұрын
What if I buy it for myself then sell it to someone for $50?
@JosephCruz-mu8cp3 ай бұрын
Damn ik im late so let’s say i win the lottery right and I wanted to give away 5 millions dollars to 10 people, so 50 million right. How much would I pay on gifting out 50 millions dollars
@Biggie-bq5bk10 ай бұрын
So legally speaking if I give a service away for free but the other party wanted to gift me $1000/m "just because" it's legally tax free or it doesn't work that way lol
@intimeditasi27977 ай бұрын
what if i send gift for cousins/nieces > can i tax return this? does it matter if they live in australia or overseas?
@Paul-ku3ce10 ай бұрын
What about a home if a relativa wannts to give a home ro their child.
@rice4u8 ай бұрын
can my married friend, gift hers car and her married friend gift her a check? each gift under 34k of course for 2023.
@mrbigcat98 ай бұрын
Can I gift the max for that tax year to the same person every year?
@gloriafrench533311 ай бұрын
Hi thanks for sharing this info. Do i need to report foreign gifts if it does not go over 16k per person. Thanks
@elainepeterson-eb2qx Жыл бұрын
in giving a gift of a 4 year old car to my daughter, do i have to file papers other than signing over the title?
@georgecastanedo19810 ай бұрын
My sister wants to give me a large gift to buy a house. She lives in Europe and has money. I don't have money so she wants to give me a gift to buy a house. somewhere around 800k. is that still ok? you know the amount so large? I think it's large to me because I've never had more than 40k in my savings. lol
@edkoehler18092 жыл бұрын
Can my 85 year old mother mother give a $3.3 million house to her nephew in 2022 and use IRS form 709 so neither one has to pay any taxes? This 3.3 million will then be deducted from her lifetime exemption of $12 million.
@HigginsLawLLCWinterHaven7 ай бұрын
that is what I'd like to know too
@Nnnqqq689 Жыл бұрын
Thank you so much for the info. can I ask if I need to pay capital gain tax when I sell a gifted car. I got this tax for free from my parents basically I paid 0$ on the car a couple years ago. and now Im selling it for 7k. do I need to pay tax on 7k profits?
@seekingtruth967710 ай бұрын
Thank you
@superproducercbiz Жыл бұрын
What if the gifted just doesn’t file a 709 form?
@qt516011 ай бұрын
it’s the gitfter/giver who has to file the form, but really, if the giver total estate/money is far from $12 million , then the giver will never pay taxes on any of the money given away.
@kykypenn2 жыл бұрын
For Oregon I heard they don’t have a gift tax what does that mean
@jacksongil9123 Жыл бұрын
Hi Hello i saw something on the internet? You can give your sibling up to $5.4 tax free is that true? Thanks
@IMOFFICIALNOW Жыл бұрын
cool thanks
@Viajandoconoscar7wonders6 ай бұрын
LIKE IT THANKS
@Tina-hu4in Жыл бұрын
My friend purchased a home for his child in 2018 but didn't know about the gift tax. Can he still file for the gift tax this year 2023?
@baconblaster6422 Жыл бұрын
Lmaooooo, I can see why they hired thousands more IRS agents. I think if he doesn’t go over 12 million it’s not a big deal if he reports it later. There’s no tax untiil after 12 mil
@Dark_side9999 Жыл бұрын
Great video, does the life time exclusion apply if I gift to siblings or friends?
@BrilloHead2 ай бұрын
Only if the gift exceeds the yearly gift allowance set forth by the IRS
@yeshuasaves2471 Жыл бұрын
so I'm giving one of my sons 10,000. and my yearly income is 46,000. does that mean that my taxable earned income now is 36,000. . what form do I have to use for the IRS?
@sylviaaa388710 ай бұрын
Bo, your taxable income has nothing to do with gift tax. You pay taxes on your taxable income and once you do it , you can gift your son 10,000.
@Tina-hu4in Жыл бұрын
If I gave my relative a big gift on January 1, 2022 when would I have to file the gift tax? Thanks
@BrilloHead2 ай бұрын
2023 of course
@BoriPR82 Жыл бұрын
We would like to know where joe biden got his foreign money too
@MARTPERE Жыл бұрын
So if i had 100 million dollars when i die only 12 million wont be taxed and the other 88 million will be taxed again at the max rate ???
@NguyenCPAs Жыл бұрын
Indeed. If you did no estate planning
@MARTPERE Жыл бұрын
@NguyenCPAs is there anyway around this ive searched and found no way
@minhunkang38342 жыл бұрын
If someone receives a million dollar gift from parents to down pay the mortgage loan for closing and write a gift letter to the bank. Do parents need to pay the federal tax? Even you write the 709 life time tax form ? It seems like your video explains only deducting the state tax amount. Please explain if possible thank you
@kikicardenas6048 Жыл бұрын
Did u ever figure out the answer to your question ? I’m closing on a house and my mother is gifting me a certain amount and I want to know
@Bipbop66 Жыл бұрын
@@kikicardenas6048 Hire a real estate tax cpa or attorney to answer that for you?
@LittleLulubee Жыл бұрын
The giver doesn’t need to pay the federal tax unless they have given more than $12.92 million during their lifetime. They just need to file the form. That’s my understanding.
@trading36510 ай бұрын
Thank you ! very nice!
@crakkfuentes742 жыл бұрын
So if I received a 15k cashier check gift that I deposited do I have to report it?
@NguyenCPAs2 жыл бұрын
Report it as...income?
@crakkfuentes742 жыл бұрын
@@NguyenCPAs yes as income when I file my taxes.
@boyboy-xe6rx Жыл бұрын
If I add my best friend in my second hand car title along with my name, as joint tenants with right of survivorship, is this considered a gift? If so If full car costs around 17000$, then 17000$ is gift amount? Or 17000$/2 is gift amount?
@hal71232 жыл бұрын
Hello, If I give my father 20K as a gift do you know if I can write them off ? thank you and have a great day
@baconblaster6422 Жыл бұрын
4k goes towards the counter of your 12 million dollar limit before you would need to pay tax on it I think