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    alexeiseven's Avatar
    alexeiseven Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Aug 15, 2012, 09:34 PM
    Taxes on gifts
    Dear Accountant,
    If I were to give someone a large amount of money as a gift, do they have to pay tax on it? If so how much?
    Thanks,
    Alex.
    ScottGem's Avatar
    ScottGem Posts: 64,966, Reputation: 6056
    Computer Expert and Renaissance Man
    		  
    #2

    Aug 16, 2012, 03:22 AM
    No, the recipient doesn't pay, but the donor may owe. A person can give up to $13K per year without incurring a taxable event. There are also lifetime exclusions.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #3

    Aug 16, 2012, 07:58 AM
    In some very isolated cases, the recipient MAY be required to pay the gift tax if, after filing the gift tax return, it is determined that the giver owes the gift tax but is NOT able to pay.

    Otherwise, the giver is obligated to pay the tax.
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