A family member of mine recently died overseas and now I'm in the will and money will be transferred over to me.
2006-07-11 00:44:01 · 10 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
yes
2006-07-11 00:47:06 · answer #1 · answered by cruiserlck 2 · 0⤊ 0⤋
Generally, an inheritance is not taxable to the person who receives it. Any income that you would have as a result of receiving the money would be considered taxable though. For example, if you put the money in the bank and earn interest, the interest would be considered taxable.
The executor of the deceased person's estate (or the person responsible for overseeing/distributing the funds) would be responsible for determining and paying any taxes due on the individual's final tax return or estate return, if required.
My sympathy for your loss.
2006-07-11 14:29:29 · answer #2 · answered by Cat 2 · 0⤊ 0⤋
Ok...all these answers are totally WRONG. Inherited money comes to the heirs TAX FREE to them. The taxes will already have been paid by the estate. The only tax you will pay is on the income you earn from that money.
The tax laws of the country in which the deceased resides will have different tax regulations than the US, so you may have some foreign taxes withheld before you get it.
Sorry for your loss.
2006-07-11 12:54:24 · answer #3 · answered by extra_37 4 · 0⤊ 0⤋
Yes there is an inheritance tax. You can be gifted up to like $11,000 annually without the giver being taxed.
But as for inheritance, it's something like up to $650,000 without penalty. The numbers change every year. Consult a professional.
2006-07-11 07:48:16 · answer #4 · answered by csucdartgirl 7 · 0⤊ 0⤋
You will not have to pay any taxes on receipt of the inheritance. To the extent there is any estate tax due on this estate, the estate itself will pay that tax. If, during the time it takes to administer the estate, your portion of the inheritance earns income, you may need to report that income on your personal income tax return.
Sorry for your loss.
2006-07-12 17:24:20 · answer #5 · answered by Anonymous · 0⤊ 0⤋
Yep, there is an inheritance tax. I don't recall if it's at federal or state levels, but you can bet that the government will be there with its hand out for its share of the money.
2006-07-11 07:48:00 · answer #6 · answered by Shadar 4 · 0⤊ 0⤋
Yes. Depending on the amount, you will have to pay if it's over a certain dollar amount.
2006-07-11 08:35:28 · answer #7 · answered by Karen H 1 · 0⤊ 0⤋
yeah maybe for the transfer of money from your country! ask an attorney to make sure!
2006-07-11 07:51:46 · answer #8 · answered by unpretty 5 · 0⤊ 0⤋
oh honey! You know Big Bro is gonna want a chunk of that. Makes ya wanna cuss, doesn't it?!
2006-07-11 07:47:27 · answer #9 · answered by My Big Bear Ron 6 · 0⤊ 0⤋
Yes you do.
2006-07-11 07:47:23 · answer #10 · answered by catnap 4 · 0⤊ 0⤋