topic gifting in Deductions & credits

gifting

filthorn — Thu, 19 Mar 2020 00:00:47 GMT

Is my $10,000.00 gift to an adult child tax deductible for me. If so, what form?

Re: gifting

Kat — Thu, 19 Mar 2020 00:17:20 GMT

Sorry, but no. A gift to a child is no different from a gift to anyone, and is not tax deductible. Additionally, the gift to your adult child is not taxable income for him/her.

You should keep a record of the total you've gifted to your child, as there are (large) limits that would eventually require a gift tax return. But for now, you're a very generous parent. Good for you!

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Re: gifting

DavidD66 — Thu, 19 Mar 2020 00:20:15 GMT

No, gifts are not tax deductible to the donor.

Re: gifting

filthorn — Thu, 19 Mar 2020 00:25:59 GMT

If I gift to my adult child, can my adult child use the gift for child care expense or moving deductions?

Re: gifting

Kat — Thu, 19 Mar 2020 00:28:08 GMT

@filthorn From a tax standpoint, your child can use the gifted money for absolutely anything he/she wishes.