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Financial Planning / Tax Strategies


Subject:  Re: Avoiding gift tax via a Corporation Date:  6/29/2006  2:19 AM
Author:  ptheland Number:  87598 of 123001

Gifts are not taxable income to you no matter how large they are. So you don't have a concern about receiving more than $12k in a year.

Gift taxes would be a consideration for the giver - your parents. If they give more than $12k per person per year, they have to file a gift tax return. They probably won't have to pay any tax unless they've been quite generous in the past, as there is a $1 million lifetime exclusion from gift taxes.

If your parents now have a sizeabl