Hi,

My mom is a U.S. legal resident and she has a bank account oversea. If she transfers some of her money into my bank account oversea. Does she owe gift tax on that transaction ?

Thank you

1. She would have to file a gift tax return if the amount she gifts to you is > $13K. This is the amount of the annual exclusion for gifting.

2. She would not actually owe any gift tax unless the amount she gives you in excess of the annual exclusion exceeds $1 million. However, any gifts greater than $13K made in a single year can have an impact on her estate planning, so if her estate is worth more than $1 miilion she should carefully consider the implications.

The donor can give gifts of up to $13,000 in a year to any number of individuals. If any gift exceeds $13000, the donor must file gift tax return Form 709. Your U.S. Tax Return: The U.S. Gift Tax