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Subject:  Re: I need help prioritizing!!! Date:  10/23/2002  10:54 PM
Author:  RoseSmeller Number:  35148 of 105396

...All the support he provides you is considered taxable under the gift tax laws. This includes half of all housing, utilities, home repair, food, transportation and any other bills that he pays that you benefit from. There is a $10k exemption. Everything else is taxable at the gift tax rate. I think that is 55%.

My next door neighbor is a single woman living with her 6 year old child. Half of her housing, utilities, home repair, food, etc certainly add up to way more that $11k (they raised it from $10k a while back). If support is a taxable gift, she and many parents are in exactly the same situation as unmarried couples since the only unlimited exemption to gift taxes is for spouses.

I believe this issue has been discussed on the tax board before, but the only posts I can currently find on the topic are these:

I definitely think some more research is in order before anyone starts mailing off big checks to the IRS.
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