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    egaldos's Avatar
    egaldos Posts: 2, Reputation: 1
    New Member
    		  
    #1

    Aug 22, 2012, 12:44 PM
    Taxes to pay for property sale in foreign country
    My mother is selling an investment property in a foreign country and she wants to gift the proceeds to her two adult children living here in the US. She is a US citizen who travels regularly. We would like to know if there is a way to reduce the taxation impact in the US for both parties, receipient and gifter.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
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    #2

    Aug 22, 2012, 02:11 PM
    As the recipient, you will owe NO taxes.

    As the giver, your mother will probably have to file a gift tax return, but likely will NOT pay any gift taxes, because she will use part f the Unified Credit in her estate to offset any gift taxes due.
    egaldos's Avatar
    egaldos Posts: 2, Reputation: 1
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    #3

    Aug 22, 2012, 06:39 PM
    I failed to mention that the property is real estate valued at approx $150K. Will the no tax still hold true to this case.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #4

    Aug 22, 2012, 07:27 PM
    Yes, still no tax.
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