     IRENE (Irenespa) | Sunday, May 28, 2000 - 06:24 pm 
Hello,
I am Italian and it is 3 years that I live in San Jose CA, my wife
(also Italian) and I have decided to buy a home, my wife's father has offered us a gift of $60,000 for the downpayment. I have been told that I shouldn't be paying any tax on that money, also only the giver should pay if the gift exeeds $10,000, but in this case the giver is not American and it does not live in US.
In Italy I am sure that the giver does not pay any tax (maye the receiver of the gift should pay something but I am not sure).
If such gift is considered an income I cannot efford to buy the house, so it is crucial that I know if such money is taxable or not.
thanks in advance for any help
Massimo |
| Christine Baker (Admin) | Monday, May 29, 2000 - 12:40 pm
I wouldn't worry. I don't know of a single case where a gift is income to you.
It really is odd that in the US you can't even give your money away without having to worry about taxes.
By the way, if your father-in-law was living in the US and subject to the $10K limitation, he could make a taxfree $10k gift to you, your wife, and any kids you have, or any other people you trust.
The limit is $10,000 per person per year.
Be sure to ask your lender/broker about the proper *gift* documentation required by the lender.
Or even better, have the money moved to your account at least 3 months prior to applying for the loan. Then it will be considered YOUR money and you'll get the best terms for your loan.
Talk to your lender/broker about the requirements (2 to 3 months account statements with the beginning balance showing the $60K?) |
