Wire transfer to Colombia under 10K. Will i need to worry about paying taxes?

[2019paybacktime]

I've sent 9900 dollar to a friend in Colombia.  Do i have to worry about paying taxes on that money?  

[DoninGA]

A fund transfer from one account to another account is not a taxable event so is not reported on a tax return.

[2019paybacktime]

Thank you so much for the reply.  I've been reading many articles on wiring money internationally and was getting nervous about being Taxed for sending money to my friend.  

I should only worry about getting Taxed if I send more than 10K correct?

[DoninGA]

@2019paybacktime There are no federal income taxes on a funds transfer regardless of the amount.

You may be referring to wire transfers over $10,000 are subject to reporting requirements under the Bank Secrecy Act. Financial institutions (Banks) must file a Currency Transaction Report for any transaction over $10,000

[2019paybacktime]

Yes, I was referring to Wire transfers.  I will be sending less than 10K.  My 2 concerns are will i get taxed for sending less than 10K  and am I committing something called "Structuring"  Since I am not sending the money all at once?

[DoninGA]

@2019paybacktime Are you going to make a series of wire transfers of just under $10,000 to your friend in Columbia or is this just a one time event?

In cases where a financial institution suspects a customer of structuring or smurfing, they are legally obligated to file a Suspicious Activity Report (SAR). The report is submitted to the Financial Crimes Enforcement Network (FinCEN). Financial institutions must file SARs within 30 days.

If you are a US citizen or US resident and are sending gifts to an individual of over $17,000 during the tax year, you are required to report the gift to the IRS using Form 709.  No taxes will be assessed if the total of gifts ever given is less than $12.92 million for tax year 2023.

[2019paybacktime]

I will be making a 4th and final wire transfer.  Here are my wire transfer transactions.

1st = 1k

2nd = 4K

3rd = 2900

4th 2000

[DoninGA]

@2019paybacktime I would not think the bank would consider those amounts as structuring.  But that is up to the bank since they alone have the reporting requirements.

As previously stated there are no taxes owed on bank transfers from one account to another account regardless of the amount transferred.  Transfer of funds in not a taxable event.

[pk]

@2019paybacktime , while agreeing with my colleague @DoninGA  for his very complete reply between your two posts on the subject, I just wanted to point out that  if the foreign bank account ( the one receiving the wire transfers ) is owned by you  or jointly by you and  her or you have signature authority over a foreign account, you may come under FBAR regs  ( form 114  -- only on-line reporting-- at FinCen .gov ).

Other than  that @DoninGA  has covered all the bases