@Caqs82 wrote:
@pkThank you for your response, I want to make sure I understand what you just said.
Because it is more than $10k the bank is going to report it, I don't have to worry about it on my 2020 taxes because it is LESS than $100k.
OR
Tax wise I don't have to worry but I still need to report it with a 3520 form.
Gifts are never** taxable to the recipient under US tax law. You won't owe tax whether the gift is more than $10,000 or more than $100,000.
A gift from a foreign person over $100,000 must be reported on form 3520, but it is not taxed. This is based on the total amount, so breaking it up into smaller amount doesn't change the requirement to file the report.
Cash/money transfers over $10,000 are reported automatically by the bank, you don't have to do anything. However, if you turn one large transaction into several small transactions to avoid the reporting requirement, that can be considered a money laundering crime called "structuring". So just take the money as simply and directly as you can.
**In some cases, there is apparently gift tax if a foreign person gives US property to a US person. Such as, your mother, who is not a US resident, owns a mansion in Florida and wants to give it to you as a US resident. This is an in situs gift, it's complicated, and every time I try to study it I get more confused. But it doesn't apply to money gifts and it certain doesn't apply to money from foreign sources.
