The parents are now in a nursing home. They sold their house. He has 2 children that are married and have children. Can he and his wife give each family member $30,000 and will there need to be a Gift tax return files since the total given will be over $200,000.
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An individual can give up to $15K to someone else w/o having to file a gift tax return. That person's spouse can also give $15K to the same recipient and there is still no requirement to file a gift tax. So yes, each family member can receive $30K. There can be no stipulations on the gift (e.g. person D, when I gift you $15K, you have to gift person A $15K).
The $15K limit includes all gifts during the year. If he gives someone $15K cash and then gives them a Xmas or birthday present, he's exceeded $15K and is required to file a gift tax return. Not sure if taking someone out to dinner would be considered a gift for this limit, but since the parents are in a nursing home, that's probably not a concern.
Last edited by Anarchrist; 03-11-2021, 07:52 PM."Taxation is the price we pay for failing to build a civilized society." ~ Mark Skousen
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