Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
flikmouse
New Member

Hello! I am a California residents, and am gifting a car to family. No state tax, but is there a federal tax I have to pay?

If so, how much is the tax and what forms do I need to fill out? I've never gifted money or property before.
2 Replies
xmasbaby0
Level 15

Hello! I am a California residents, and am gifting a car to family. No state tax, but is there a federal tax I have to pay?

GIFTS

Money that you receive as a gift is not taxable income to you, and you do not need to report it on your income tax return.  Money that you gave as a gift to someone else is not deductible for your taxes.

 

Turbo Tax does not support the gift tax form 709, but here is a link:

https://www.irs.gov/pub/irs-pdf/f709.pdf

 

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-...

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**
rjs
Level 15
Level 15

Hello! I am a California residents, and am gifting a car to family. No state tax, but is there a federal tax I have to pay?

If the value of the car, when you gift it, is more than $16,000, you have to file a federal gift tax return, Form 709. You will not have to pay any gift tax unless the total of all gifts you have made in your lifetime is more than $12 million, but you have to file the return.


If the value of the car is $16,000 or less there is no tax, and you do not have to do anything.

 

Dynamic AdsDynamic Ads
Privacy Settings
v