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

    Feb 17, 2014, 07:35 AM
    Inheritance pension gift
    My friend received a 1099R from his late father's retirement. He gave his brother a portion of the proceeds. He wants to know if there is someplace he can deduct that amount on his 1040 for 2013. This distribution will affect financial aid for his son.
    ScottGem's Avatar
    ScottGem Posts: 64,966, Reputation: 6056
    Computer Expert and Renaissance Man
    		  
    #2

    Feb 17, 2014, 07:40 AM
    What he gave his brother was a gift. Its not deductible. In fact, depending on the amount, he may have to pay taxes on it.
    jkaron's Avatar
    jkaron Posts: 2, Reputation: 1
    New Member
    		  
    #3

    Feb 17, 2014, 07:45 AM
    The amount of the gift was for below the maximum for 2013 that you can gift without being taxed.
    I knew what the answer would be but just thought I would double check. Its too bad that the school system sent the money last year and not when his father passed away in 2007, this distribution will greatly affect financial aid.
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