Gave 75,000.00 a year for the last 10 years to one person. Gave 90,000.00 to one person last year. Gave 36,000.00 to one person every year for the last 5 years. Have never filed gift tax. How do you calculate percentage wise and how much would I owe the IRS now?
2006-09-26 16:38:49 · 2 answers · asked by salute333 1 in Business & Finance ➔ Personal Finance
Wow. You really should have talked to your accountant. I'm assuming you have one with all that disposable money. You may not have owed anything had you filed your Gift Tax Return (Form 709) on time. There is currently a lifetime exclusion of $1 million for gifts, but only if you file timely gift tax returns. Your total is less than a million, but you weren't filing the returns. If you came totally clean and went to the IRS and explained what you did, you may still be OK. I would seriously doubt that any advice you get on this board would adequately resolve your issue.
Good luck :)
2006-09-26 16:53:02 · answer #1 · answered by TaxMan 5 · 0⤊ 0⤋
You better talk to a financial specialist. Check out www.quarantz.com Send them an email with all these details. They can provide you with some ideas/answers etc. And they do that for free as a service.
2006-09-26 20:12:31 · answer #2 · answered by Patrick L 3 · 0⤊ 0⤋