Gift from parents ($CAD -> $USD)

Forum|Forum|6 years ago
September 17, 2019
3 replies
17 views

If my parents were to convert $CAD from a Canadian bank and send me $USD into my US bank account, will this be considered as taxable income in the US? Does this depend on the amount? I'm thinking of using Transfer Wise to do this.

DoninGA

Level 15

Gifts received from an individual are not reported on a tax return, regardless of the amount received.

If you receive a gift of over $100,000 from a foreign individual then you have to report the gift on IRS Form 3520. This is an informational form only and not a tax return.

kviparkAuthor

Level 2

The 100k of gift that i have to report, does this amount get reset every year?

For example, If i receive 80k this year and 80k next year, do i have to report?

do you happen to have the source where you found this answer?

macuser_22

Alumni - Champ

@kvipark wrote:

The 100k of gift that i have to report, does this amount get reset every year?

For example, If i receive 80k this year and 80k next year, do i have to report?

do you happen to have the source where you found this answer?

For reporting a $100K or more foreign gift?

The 3520 is an annual report for each year such a gift is received.

Here are the 3520 instructions and who must file.

https://www.irs.gov/pub/irs-pdf/i3520.pdf

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**