topic Form 3520 in Get your taxes done using TurboTax

Form 3520

szbusiness65 — Thu, 10 Apr 2025 16:02:58 GMT

Hi,

I have two questions regarding form 3520:

I received two wire transfers within a month from each other summing up more than 100k from same foreign non-US person.

1) Can I add them together and write the total aggregated amount as one gift in part IV, section 54? or should I separately list each gift?

2) Should I write the total amount in the "FMV of property received" section in column c (even if it was cash) or just simply in the description (column b)?

Thank you for your time and assistance.

Re: Form 3520

pk — Thu, 10 Apr 2025 16:34:49 GMT

@szbusiness65 ,

(a) if the gifts received were from the same NRA and in the same tax year, then yes , you can total up the amount and report as one line item.

(b) the value of the gift is the dollar value ( FMV ) of the asset. Note that FMV of the asset is only for threshold purposes --- a non-cash gift's basis to you is the same as that of the donor ( which you will need when computing gain/loss at disposal time ).

Does this make sense ?

Re: Form 3520

szbusiness65 — Thu, 10 Apr 2025 17:03:53 GMT

Thanks so much, yes it makes sense. I guess my only clarification is that, since the wire transfer was in cash with a certain amount, do I still put that wire amount directly into FMV 54(c) column?

Thanks again!

Re: Form 3520

szbusiness65 — Thu, 10 Apr 2025 17:05:55 GMT

@pk

Thanks so much, yes it makes sense. I guess my only clarification is that, since the wire transfer was in cash with a certain amount, do I still put that wire amount directly into FMV 54(c) column?

Thanks again!

Re: Form 3520

pk — Thu, 10 Apr 2025 20:17:35 GMT

@szbusiness65 line 54 column (c) is trying to capture both non-cash ( hence the "FMV" ) as also cash gifts from NRA --- FMV of cash being the face value of cash. It is kind of confusing since they use "did you receive more than $100,000 that you treated as gifts or bequests " and then use "FMV".

Hope this helps

Re: Form 3520

szbusiness65 — Thu, 10 Apr 2025 20:24:50 GMT

@pk

Got it, thank you!