I gifted my daughter and her husband 40k for equity in home. It looks like I need to fill out form 709? but what exactly do I need to do? Thank you

[ricardomsandoval]

please tell me exactly what I need to do so I can continue doing taxes with your service. Otherwise I will have to go elsewhere to finish my taxes. Have everything done except this part. I heard something like I can gift each of them 14k.? I would just like some straight answers on what I need to do please

[DoninGA · Accepted solution]

Gifts given to an individual are not reported on nor deductible on your personal tax return.  Gifts received from an individual are not reported on a tax return, regardless of the amount received.

You can gift up to $14,000 per year to a single individual without having to complete a gift tax return, Form 709.  If you are married, each spouse can gift up to $14,000 to a single individual.  So if you are married you both can gift your daughter $28,000 and to her husband $28,000 during the year for a total of $56,000 without having to complete a gift tax return.

Otherwise you will need to complete IRS Form 709 United States Gift (and Generation-Skipping Transfer) Tax Return.  However, unless you have gifted an aggregate of over $5.45 million in your lifetime, there will be no gift taxes owed.  

TurboTax does not support IRS Form 709.

Form 709 - https://www.irs.gov/pub/irs-pdf/f709.pdf

Form 709 instructions - https://www.irs.gov/pub/irs-pdf/i709.pdf

[DoninGA]

Note - If required, Form 709 is in addition to your personal tax return, Form 1040.  It is Not a replacement of your personal tax return.