Thank you so much PK! Your answer is precise and very helpful! Your assumption is correct, me and my husband are US person and donor is Chinese citizen.
Thank you for also reminding the interest generated in foreign bank account I need to file that part as income.
One follow up question: If the cash gift is a fixed deposit (I can't withdraw or transfer until 2 years later), do I still need to recognize the interest as part of my income next year? Or I only need to recognize it in 2 years later when I can withdraw or transfer it?
Appreciate if you can advise about the 3520 filing: Do I need to joint file 3520 with my husband since we will file 1040 as joint? Can I file 3520 for myself only?
