Jose Cohen, C.P.A.

Things you may not know about the Federal Gift Tax
Thursday, 03.05.2009, 08:40pm (GMT)

  1. The purpose of the federal Gift tax is to make sure that individuals do not give away all of their assets before death to avoid paying estate tax?
  2. The gift tax is imposed on the “giver” (or donor) - the person making the gift - and not on the person receiving the gift (the donee)?
  3. A gift (i.e., a gift not made to a charity) has no effect on federal or state income taxes?
  4. You can give $13,000 to as many individuals you want - relatives, friends or even strangers – in calendar year 2009 with no gift, or future estate, tax consequences?
  5. You may have to file a gift tax return if you put your child's name on the deed of your home, or give them a significant amount of money or stock/securities for a down payment on a house?
Jose Cohen