A question by Fried Kitten : I wish to give a person a gift of $15,000.00 to $20,000.00. This person lives in another state of the US. I do not want to travel to that state.I wish to send the money without causing any agency to have suspicion of any illegal activity or to cause the other person to have to pay taxes on it. I really don’t feel like travelling to the other state.?
Answers
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“Hi Kitty!As long as you have a paper trail of the money, there is no suspicion. That means that you have paid taxes on the money. You write a check or do a wire transfer. No one is notified about anything. Cash is reported to the IRS, not a check. If the gift is valued at $15000 or less, there is no repor ng required (2020 amount) If you gift more than $15000, you (the giver) does gift tax reporting but there is no tax due until you have gifted over $11.58Million (2020 amount).”
Hunch
“You’re still obligated to pay gift tax on that amount. If you pay it in amounts less than $14,000 per year over several years, depending on your state, you may be OK. Consult a lawyer. Write a check for it and make sure u put is as a gift.if this is the first time your giving a check with that large amount of money just explain to the bank it’s a gift “
Isabelle
“This person would not have to deal with any taxes if it were a gift. YOU, as the giver, have to file a gift tax if it’s over $15k. So you write a check for $15k. It won’t cause any suspicion. It will getting flagged, but if it is legit just a gift, then there is zero reason for anyone to care. It’s typically patterns of activity which are an issue..”
Debt
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