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Form 709, one needed for each person receiving gift

Jim-Bob-61 — Sat, 01 Jun 2019 05:31:52 GMT

My mom sold her house and gave each of her four children a gift requiring a 709 to be filed. Does a separate 709 have to be filed for each person or is once sufficient. I see it asks for name and address but does that require the full mailing address or just the city/state? Thanks.

The 709 is filed so that the IRS can keep track of someon...

DexterS — Sat, 01 Jun 2019 05:31:53 GMT

The 709 is filed so that the IRS can keep track of someone's total lifetime gifts, in case they become liable for Estate/ Gift Tax.

Your mom would file one of these to report individual gifts in excess of the exclusion amount, currently $14,000 per donor, per donee.

Thanks. So to confirm I read that correctly, 4 separate 7...

Jim-Bob-61 — Sat, 01 Jun 2019 05:31:55 GMT

Thanks. So to confirm I read that correctly, 4 separate 709s?

No, mom does 1 Form 709 listing four recipients in Section A

DexterS — Sat, 01 Jun 2019 05:31:57 GMT

No, mom does 1 Form 709 listing four recipients in Section A

Ok thanks for your reply

Jim-Bob-61 — Sat, 01 Jun 2019 05:31:58 GMT

Ok thanks for your reply

Jim Bob 61 - TurboTaxDexter is correct but missing a poin...

belvilletx — Sat, 01 Jun 2019 05:32:00 GMT

Jim Bob 61 - TurboTaxDexter is correct but missing a point that you are struggling with. The instructions give guidance that if you need more room in Schedule A that you should attach an addendum which is in the same format as the Schedule A. I have the same problem in that my mom is gifting 5 children. So yes - one Form 709 but expand your Schedule A with an addendum.

Re: Jim Bob 61 - TurboTaxDexter is correct but missing a poin...

shambo3 — Mon, 01 Jul 2019 23:47:15 GMT

How do you expand section A with an addendum? (I have gifted 3 people). Thanks!

Re: The 709 is filed so that the IRS can keep track of someon...

ron6612 — Sat, 05 Dec 2020 14:27:51 GMT

Why do you reference the exclusion amount as $14,000? I’m reading that it is $15,000 for 2019 and 2020? My thinking is that don’t have to file 709 if give no more than $15,000 to a child? Also, if both husband and wife each give the allowable exclusion amount to a child from joint checking account should separate checks be sent out to avoid having to do the 709 filing?

Re: The 709 is filed so that the IRS can keep track of someon...

xmasbaby0 — Sat, 05 Dec 2020 14:31:22 GMT

@ron6612 This thread is very old. When the user forum changed from Answer Exchange to Real Money Talk, a lot of threads migrated over with June 2019 dates but are really much older. That's why the gift tax amount you see here is out of date.

https://turbotax.intuit.com/tax-tips/estates/the-gift-tax-made-simple/L5tGWVC8N

https://www.forbes.com/sites/ashleaebeling/2017/10/19/irs-announces-2018-estate-and-gift-tax-limits-11-2-million-per-couple/#3226e75d4a4b

Re: The 709 is filed so that the IRS can keep track of someon...

ron6612 — Sat, 05 Dec 2020 14:56:40 GMT

I’m confused about the term split gift and need to file 709. If my wife and I each write separate checks from our joint account to one child for $15k each would we still need to file the 709 for a split gift?

Re: The 709 is filed so that the IRS can keep track of someon...

DoninGA — Sat, 05 Dec 2020 15:00:41 GMT

@ron6612 wrote:

I’m confused about the term split gift and need to file 709. If my wife and I each write separate checks from our joint account to one child for $15k each would we still need to file the 709 for a split gift?

No. An individual is allowed to gift $15k to another individual without having to file a Form 709.

So if you gift 15K to the child and your spouse gifts $15K to the same child there is no requirement for either of you to report the gifts given.

Re: The 709 is filed so that the IRS can keep track of someon...

ron6612 — Sat, 05 Dec 2020 15:13:46 GMT

Even if same joint checking account?

Re: The 709 is filed so that the IRS can keep track of someon...

ron6612 — Sat, 05 Dec 2020 15:15:00 GMT

And that situation has nothing to do with split gift rule?

Re: The 709 is filed so that the IRS can keep track of someon...

DoninGA — Sat, 05 Dec 2020 15:49:48 GMT

@ron6612 wrote:

And that situation has nothing to do with split gift rule?

No, this situation has nothing to do with gift splitting since each individual gift does not exceed the $15k exclusion.

IRS Form 709 instructions page 6 - https://www.irs.gov/pub/irs-pdf/i709.pdf#page=6

Re: The 709 is filed so that the IRS can keep track of someon...

ron6612 — Sat, 05 Dec 2020 15:42:49 GMT

You noted in your post “since each individual gift does exceed the $15k exclusion.” Did you mean to say “does not exceed?”

Re: The 709 is filed so that the IRS can keep track of someon...

DoninGA — Sat, 05 Dec 2020 15:49:24 GMT

@ron6612 wrote:

You noted in your post “since each individual gift does exceed the $15k exclusion.” Did you mean to say “does not exceed?”

Yes, that was a typo. Should read "does not exceed".

Re: The 709 is filed so that the IRS can keep track of someon...

ron6612 — Sat, 05 Dec 2020 15:56:29 GMT

Last question: would it be better to write separate checks from separate checking accounts or does this not matter? Thanks again!

Re: The 709 is filed so that the IRS can keep track of someon...

DoninGA — Sat, 05 Dec 2020 16:06:43 GMT

@ron6612 wrote:

Last question: would it be better to write separate checks from separate checking accounts or does this not matter? Thanks again!

Doesn't matter as long as separate checks are written.