I should check "YES". Is this correct? No. You are only to answer yes if "you treated as gifts from foreign corporations or foreign partnerships (or any foreign persons that you know (or have reason to know) are related to such foreign corporations or foreign partnerships)" Instructions 3520 Since it came from your parents, unless they were acting as a corporation, you would answer no.
"If you answered “Yes” to the question on line 56 and the ultimate donor on whose behalf the reporting donor is acting is a foreign corporation or foreign partnership, attach an explanation including the ultimate foreign donor's name; address; TIN, if any; and status as a corporation or partnership." My parents' friends sent money just as individuals. It wasn't a corporation or partnership. So do I just not explain anything? No, you do not need to include an explanation since the money was coming from your parents and not a corporation.
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