It is truly not clear here what you are trying to do or why you think taxable income is involved. First---Florida has no state income tax, so there is nothing for you to do tax-wise with Florida. And.....it sounds like you are giving money as a gift to your SIL--gifts are not deductible for you nor are they taxable to the person receiving the gift. Why do you think you would be issuing 1099's or W-2's---and to yourselves?
If the amount you are giving to your relative exceeds the yearly limitation for the two of you--each giving an amount to your family member, then you may need to file a federal gift form 709, but you will not pay tax on it.
Gifts given to family members, friends or other individuals are not deductible. Gifts received are not taxable to the person who received the gift, and are not entered on a tax return.
If your gift exceeds the yearly limit ($17,000 per individual) imposed by the gift tax rules, then you will need to complete a Form 709 gift tax form and send it to the IRS, although it is very unlikely that you will owe any tax.
TurboTax does not support Form 709. It is not an income tax form and would not be included as part of an income tax return.
Here is a link to the form:
https://www.irs.gov/pub/irs-pdf/f709.pdf
https://turbotax.intuit.com/tax-tips/estates/the-gift-tax-made-simple/L5tGWVC8N
Am I missing something? Thoughts? @Critter-3 ? @Opus 17 ?
**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**
