[Metropol]

A relative who is a US citizen is thinking about gifting me and my sister moneys over 100,000 each from a foreign bank. What are my relative's tax implications and what are my sister's and mine? Gift tax is how much? Thanks.

[MukatA]

1. In the U.S. there is no gift tax to be paid by the receiver of the gift. So for you and for your sister, there is no gift tax involved.

2. The donor must file gift tax return if gift to a person in a year is more than $12,000. So your U.S. citizen relative must file gift tax return.

3. If your U.S. citizen relative is maintaining foreign bank accounts (outside the U.S.), then he/she must file Form TD F 90-22.1 if the amount exceeds $10,000 any time during the year.
Read Your U.S. Tax Return: The U.S. Gift Tax