Paying taxes

flying belgian · Jun 9, 2010

Any one know how much gross income you can make before you have to file an income tax return? Let me explain. I want to give my miner grandchildren some money but I don't want them to be obligated to file an income tax return. For some reason $6000 comes to my mind.

Bob · Jun 9, 2010

What do they mine... coal? gold? diamonds?

JMS/.MN · Jun 9, 2010

CRS says some years ago you could "gift" anyone up to $13000 without any tax obligation on their part. Beyond that, a recipient could receive more, but the tax liability would be on the estate of the gifter, not the giftee. I remember asking my tax CPA about that- no wonder people who inherited home money did so well- they could inherit as much as possible without paying taxes on it. Granted, they had no tax basis in the property for when they sold it. BTW, I think I"m older than you, but still adoptable!!!

Mike (WA) · Jun 10, 2010

JMS has it right- you can give up to $13,000 apiece to as many people as you want (my address is available upon request). Its not income to them, no matter how much you give- but if over $13,000, you would incur "gift tax".

Two Dogs · Jun 10, 2010

Must be dollars.

TDF

pete black · Jun 10, 2010

that would be 13k for you and your spouse could also gift 13k for a total of 26k. check it out.

dhermesc · Jun 10, 2010

A gift is not income.

Nancy Howell · Jun 10, 2010

I know for a fact that you could give a family member up to $11,000 each year and it would not have to be reported for tax purposes.

My mother tells me its gone up to $13,000 but I haven't checked it out so I can't say for sure that its gone up.

flying belgian · Jun 10, 2010

Let me ask this in a different way. When do you have to file an income tax return.

big fred · Jun 10, 2010

The IRS can tell you.
Pub 501

JMS/.MN · Jun 10, 2010

I had an uncle with 5 kids, and for some years, he and his wife would each gift $13,000 to each child and spouse....that"s $42,000 per family. Son who took over the home place, it was offset from the mortgage balance.

GeneMO · Jun 11, 2010

I think I am going to sell my corn and soybeans in the grandaughters name this year.

Gene

Paying taxes

flying belgian

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Bob

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JMS/.MN

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Mike (WA)

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Two Dogs

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pete black

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dhermesc

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Nancy Howell

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flying belgian

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big fred

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JMS/.MN

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GeneMO

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