2007-02-02 01:59:05 · 4 answers · asked by clark869 2 in Business & Finance ➔ Taxes ➔ United States
Gift by definition is a transfer of property for less than adequate consideration. Gifts usually occur in a personal setting (such as between members of the same fafmily). They are EXCLUDED from the income tax base but it may be subject to a transfer tax. Only taxable gifts are subject to the gift tax. For this purpose, a taxable gift is measured by the fair market value of the property on the date of the transfer less the annual exclusion per donee and, in some cases, less the marital deduction, which allows tax-free transfers between spouses. Each donor is allowed an annual exclusion of $12,000, for each donee.
2007-02-02 02:25:09 · answer #1 · answered by Sabrina H 2 · 0⤊ 0⤋
actually i believe the gift tax limit was raised to 12,000
Annual exclusion. A separate annual exclusion applies to each person to whom you make a gift. For 2006, the annual exclusion is $12,000. Therefore, you generally can give up to $12,000 each to any number of people in 2006 and none of the gifts will be taxable.
So no you would not have to claim a gift of 10K. But be sure and put it to a good use (invest, pay off debt, etc) :)
2007-02-02 10:07:12 · answer #2 · answered by Anonymous · 0⤊ 0⤋
no you dont have to claim gifts. the person who gave you the gift would have to file if the gift was over $12,000
2007-02-02 10:08:22 · answer #3 · answered by tma 6 · 3⤊ 0⤋
yes. thats the bottom limit to claim a gift.
if it was $9,999 you wouldnt have to.
2007-02-02 10:05:00 · answer #4 · answered by Kutekymmee 6 · 0⤊ 4⤋