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Financial Planning / Tax Strategies
|Subject: Tax Implications for Receiving/Giving Cash Gifts||Date: 3/5/2001 2:32 AM|
|Author: KPATEL49||Number: 47672 of 119627|
My wife and I are about to purchase a home and my parents are going to help with the down payment. On the IRS site, I read that a person can gift any other person tax free up to $10000. The way I intrepret it is that my Dad can give me $10K and my mom can give me $10K and then repeat the procedure on my wife this way we can have up to $40K for OUR down payment and there are no tax headaches. Also, my wife and I file jointly as do my parents.
My question are:
1. Are there any forms that need to be filed with the IRS and from whom?
2. Since we both file jointly can my interpretation above hold?
Hopefully someone out there has gone through a similar experience and can shed some light on my situation. Sorry if the message is difficult to follow!!
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