Family members would be my children and grandchildren.
2007-02-15 02:09:12 · 3 answers · asked by Warden Willie 1 in Business & Finance ➔ Taxes ➔ Other - Taxes
Gifts to family members are not deductible for income tax purposes. A gift has no affect on your income tax liability.
Gifts up to $12,000 per year per person are exempt from the gift tax.
And if gifting to minors, you may want to consult the Uniform Gift to Minors Act. I do not know what it covers but I believe there is an issue if the gift is over a certain dollar amount. Not a tax liability but an access restriction.
2007-02-15 02:25:53 · answer #1 · answered by zudmelrose 4 · 0⤊ 0⤋
Gifts to family members won't reduce your tax liability. If you give more than the annual exclusion amount ($12,000 for 2006) you may have to PAY gift taxes.
2007-02-15 12:15:15 · answer #2 · answered by Bostonian In MO 7 · 0⤊ 0⤋
anything under $10,000 per year is a non taxable gift.
anything over that is taxable.
2007-02-15 10:13:16 · answer #3 · answered by Kutekymmee 6 · 0⤊ 3⤋