Income Assistance

[PINKNation]

My husband and I don’t live together but we do live in the same state. He makes the most while I’m a self-employed independent contractor. If my husband decided to help me during the year with money will that money count as my income in addition? 

[DawnCo]

Hi PINKNation, 

Thanks for joining the event.

No, it is not taxable. 

The Unlimited marital deduction:

 The IRS offers an unlimited marital deduction that allows married couples to make unlimited inter-spousal transfers of property without incurring a tax, either during their lifetimes or after their deaths. The deduction applies to both estate taxes and gift taxes. 

If both spouses in a married couple are United States citizens, one spouse may make unlimited gifts to the other spouse, during life or at the time of death, using the unlimited marital deduction. The unlimited marital deduction, however, does not apply to gifts made to a non-citizen spouse

Here is a good article:

https://www.schomerlawgroup.com/tax/2023-gift-and-estate-tax-updates/#:~:text=If%20both%20spouses%20....

chrome-extension://efaidnbmnnnibpcajpcglclefindmkaj/https://www.irs.gov/pub/irs-pdf/p904.pdf

[PINKNation]

Would we need to complete a form? 

[xmasbaby0]

@PINKNation  There is no form for your spouse to complete to give money to you.  Please keep your related questions in one thread or it gets way too confusing for those of us who are trying to reply to your multiple questions and help you.

[PINKNation]

Will do. I didn’t want to overload with multiple questions in one chat. Thanks for your help! 

[PINKNation]

Thanks for your assitance.