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blusun
New Member

Is a parents' death benefit and retirement income received by one sibling then split and forwarded to other siblings income or a gift?

 
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dmertz
Level 15

Is a parents' death benefit and retirement income received by one sibling then split and forwarded to other siblings income or a gift?

It's income to the sibling who is the beneficiary of these and gifts from the beneficiary the other siblings.  It's common for the split in these cases to be made after factoring out the amount the of the beneficiaries increase in tax liability resulting from this income.

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1 Reply
dmertz
Level 15

Is a parents' death benefit and retirement income received by one sibling then split and forwarded to other siblings income or a gift?

It's income to the sibling who is the beneficiary of these and gifts from the beneficiary the other siblings.  It's common for the split in these cases to be made after factoring out the amount the of the beneficiaries increase in tax liability resulting from this income.

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