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Can someone give me an official URL stating that gifts are not taxable to the recipient?
I have been told that a gift of over $10,000 is taxable as income, and she was told this by a tax lawyer. It has been made clear on this board that this is not so.


For an official URL, how about <http://ftp.fedworld.gov/pub/irs-news/at-01-31.pdf>, from which the following is a quote:
If you give any one person gifts valued at more than $10,000 in a year,
it is necessary to report the total gift to the Internal Revenue
Service. You may even have to pay tax on the gift.

The person who receives your gift does not have to report the gift to
the IRS or pay gift tax or income tax on its value.
In the case you're discussing, there may be some question about what constititues a "gift," or perhaps someone misunderstood what the "tax lawyer" said, or perhaps the lawyer was commenting on another aspect of the situation -- perhaps the "gift" consisted of appreciated assets that someone is considering selling.

In any event, the receipt of a gift does not consititute a taxable event. More details of the case you're talking about might clarify things a little.

Hope this helps,
Phooley in Phoenix
P.S. I found that URL by going to www.irs.gov and searching for "gift" -- IRS Pub. 950 popped up frequently in the search results, and may be helpful to you and your friend. I invite you to become more familiar with www.irs.gov -- it can be quite helpful!
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