social

Paying Taxes on Gift Money?

I'm new to paying taxes and have a question about gift money. I know gifts are not taxed for the recipient, but if one takes a gift and deposits it in a savings account for more than one tax year, will it ever be considered taxable income, or will only it's annual interest (if high enough) be so treated?

Advertisement

Thank you.

By Alessandro

Add your voice! Click below to answer. ThriftyFun is powered by your wisdom!

May 11, 20120 found this helpful

To find your answer you can, 1. call the IRS. The number is in the phone book or find it on line. 2. Call a CPA. I don't believe they would charge a fee to answer a question. 3. Call the tax dept of your state. 4. Go to IRS.GOV and hunt around their web site for your answer.

Reply Was this helpful? Yes
May 12, 20120 found this helpful

I am can only answer for here in Canada. Gifts are not taxable, however, if this is a large sum of money, you should retain some documentation to prove that it was a gift and not earned income. As long as you can prove it was a gift, you should be fine. Perhaps the best thing for you to do is to contact your tax office. The number should be in your phone book, on tax forms, or easily found over the internet.

Reply Was this helpful? Yes
Advertisement

Add your voice! Click below to answer. ThriftyFun is powered by your wisdom!

Advertisement

In This Page
< Previous
Categories
Budget & Finance Tax TipsMay 11, 2012
Pages
More
😷
Coronavirus Tips
🎄
Christmas Ideas!
Facebook
Pinterest
YouTube
Instagram
Contests!
Newsletters
Ask a Question
Share a Post
Categories
Better LivingBudget & FinanceBusiness and LegalComputersConsumer AdviceCoronavirusCraftsEducationEntertainmentFood and RecipesHealth & BeautyHolidays and PartiesHome and GardenMake Your OwnOrganizingParentingPetsPhotosTravel and RecreationWeddings
Published by ThriftyFun.
Desktop Page | View Mobile
Disclaimer | Privacy Policy | Contact Us
Generated 2020-11-30 03:15:22 in 1 secs. ⛅️️
© 1997-2020 by Cumuli, Inc. All Rights Reserved.
https://www.thriftyfun.com/tf73426914.tip.html