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Gift Tax

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wisnowbird

Guest
My single father has offered to gift $40,000 to me & my sister for home purchases this year. I understand that the first $10,000 to each of us will not have any tax consequences and the other $30,000 to each can fall under the lifetime umbrella. However, will my sister or I have to pay any taxes on the gift?
Thank you!
 


M

Marcia M

Guest
If your father is married and his wife joins in, he and she can gift you $20,000. If you are married they can gift another $20,000 to your wife.

Any amount over $10k per person only eats up part of his lifetime exemption of $675,000 (increasing to $1 million), and he has to file a gift tax return but there is no Federal tax due. ALso he pays, not you
 

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