Tax implications of transferring money to my mother

ndesk — Wed, 30 Sep 2020 05:44:07 GMT

Hi,

Please let me know the tax implications of transferring $300K to my mother who is the non resident of US

I would be transferring the money which is in my US account to her US account

Thanks,

Re: Tax implications of transferring money to my mother

Carl — Wed, 30 Sep 2020 13:01:39 GMT

Is your mother a U.S. Citizen? Are you? Is your mother physically in the U.S? Are you?

Typically, there is no tax implication on "gifting" money to another person. However, if you give more than $15K to any one individual in a tax year, you are required to report it to the IRS. But still, *nobody* will pay *any* tax on the gift. To report it to the IRS simply file IRS Form 709 - Gift Tax Return.

Now the name of that form is misleading, as *nobody* will pay *any* tax on the money. But if the amount exceeds $15K you're required to report it. Additional reporting requirements "may" apply depending on the locale/citizenship status of the giver/recipient. But I myself am not cognizant to exactly what those additional reporting requirements may be.

Understand also that the IRS Form 709 has *NOTHING* to do with income taxes and is filed separately from any tax return.

See https://www.irs.gov/instructions/i709 for the actual form and instructions.

Re: Tax implications of transferring money to my mother

ndesk — Thu, 01 Oct 2020 05:29:33 GMT

Hi Carl,

I am permanent resident. My mother is on Visa. Both are physically present in USA during gifting the amount.

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Tax implications of transferring money to my mother

Re: Tax implications of transferring money to my mother

Re: Tax implications of transferring money to my mother