topic what form to file for foreign gifted money from relative? in Deductions & credits

what form to file for foreign gifted money from relative?

Shogun159 — Mon, 13 Jan 2025 01:10:55 GMT

Hello everyone,

So my grandparents just gifted us around 200k, but they weren't be able to transfer to my US bank. So I had to go back to their home country to open a bank account on my name so they can transfer it to me. After that, I transferred 200k to my US bank account.

Do I need to file any tax forms?

Re: what form to file for foreign gifted money from relative?

pk — Mon, 13 Jan 2025 04:32:44 GMT

@Shogun159 , am I wrong or is this a repeat -- thought this was answered before -- you will need to file FBAR ( FinCen.gov on line form 114 ), form 8938 ( may be depending on exact facts and circumstances ) and form 3015 recognizing the gift from an NRA ( Non-Resident Alien ). You receiving bank will also raise SAR ( Suspicious Activity Report ), but generally these are closed in a short while. No tax implications.

I am assuming here that the donor ( person / trust/estate ) nor the country is sanctioned.

Re: what form to file for foreign gifted money from relative?

Shogun159 — Mon, 13 Jan 2025 14:04:15 GMT

I couldn't find a tax named 3015 you mentioned above, do you mean 3520?

The reason I'm asking because I received it in my foreign bank account then transfer it to my US bank account. So technically it is sent directly from my grandparents, does it still considered a gift?

Re: what form to file for foreign gifted money from relative?

pk — Mon, 13 Jan 2025 16:25:39 GMT

@Shogun159 , sorry for the typo -- I did mean form 3520 ( Form 3520 (Rev. December 2023) ).

The reason you have to file is because you are receiving a gift from a foreign person/ trust etc. It is not connected with where the gift is sitting and/or that the monies were transferred from your own foreign account to your own domestic account. You are just declaring where the monies came from.

You also have to file FBAR and possibly FATCA forms because you have a foreign financial account ( that you own or have signature authority over ).

Does this help ?

Is there more I can do for you ?