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amaurian
New Member

Do I need to report a family gift I received of over $10k to the IRS? What sort of form do I need to fill out?

Hello! My wife and I received a gift of over $10k from a family member of ours. What exactly do I need to do to avoid getting audited (worst case scenario)
3 Replies
VolvoGirl
Level 15

Do I need to report a family gift I received of over $10k to the IRS? What sort of form do I need to fill out?

You don't report gifts received.   If someone gives more than $15,000  to any one person, the giver might have to file a gift tax return form 709 to deduct the gift off their lifetime 5.43 million dollar exclusion but there won't be any taxes due.

amaurian
New Member

Do I need to report a family gift I received of over $10k to the IRS? What sort of form do I need to fill out?

I see! I am a bit hesitant however, because I read that if I were to deposit any amount over 10k to my bank, they would report the deposit to the IRS. Would I have to take any action?

rjs
Level 15
Level 15

Do I need to report a family gift I received of over $10k to the IRS? What sort of form do I need to fill out?

Banks have to report deposits of cash over $10,000. But they're not reporting it as income. They're just letting the IRS know that someone was handling a large amount of cash. The IRS knows that most such deposits are legitimate. If the gift you received was a check, not cash, the bank will not report it.


In any case, there is no way for you to report a gift that you received on your tax return. The IRS does not want you to report it. You do not pay income tax on a gift.

 

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