I received a lawsuit settlement. If I gift my minor child $14,000 this year, do I still have to pay taxes on that as income?

[macuser_22]

See the answers to your other question asking the same thing.

<a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/questions/4510451-how-can-i-avoid-massive-taxes-from-a-lawsuit-settlement-de...>

[whit831]

The other question is more broad. But thank you SO much for all your help!

[TomD8 · Accepted solution]

Here are the IRS guidelines on which types of settlements are taxable:  https://www.irs.gov/pub/irs-pdf/p4345.pdf

Gifting part or all of a settlement does not affect its taxability.

The IRS gift exclusion amount for 2018 is $15,000.  Gifts of $15,000 or less do not require filing of a gift tax return.

Gifts are not deductible by the donor, nor are they taxable to the recipient.

[Anonymous]

if it is taxable, any amount gifted would still be taxable to you. 

[Opus 17]

Settlements are not always taxable, it depends on what it was for.  But if it is taxable, anything you do with the money after you receive it is treated as a separate event, and gifts are never tax deductible.