Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 03-27-2017, 10:20 PM
Junior Member
 
Join Date: Mar 2017
Location: Roy, Utah
Posts: 1
distributing inheritance

My wife is the sold beneficiary of her father's estate, mainly consisting of a mutual fund account. Her intention is to distribute this money to her siblings (there is no will or any other instructions from her father). For tax purposes, I would assume these distributions would be considered gifts, requiring her to observe the annual gift limitation of $14,000. Are we thinking correctly?



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #2 (permalink)  
Old 03-28-2017, 12:25 AM
Moderator
 
Join Date: Oct 2010
Posts: 5,258
Quote:
Originally Posted by markgoyler View Post
My wife is the sold beneficiary of her father's estate, mainly consisting of a mutual fund account. Her intention is to distribute this money to her siblings (there is no will or any other instructions from her father). For tax purposes, I would assume these distributions would be considered gifts, requiring her to observe the annual gift limitation of $14,000. Are we thinking correctly?
Correct; those distributions are gifts of your spouse ofr the donees; If you gave gifts to someone in 2016 totalling more than $14k (other than to your spouse), you need to file Form 709.



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #3 (permalink)  
Old 03-28-2017, 12:28 AM
Moderator
 
Join Date: Oct 2010
Posts: 5,258
Quote:
Originally Posted by markgoyler View Post
My wife is the sold beneficiary of her father's estate, mainly consisting of a mutual fund account. Her intention is to distribute this money to her siblings (there is no will or any other instructions from her father). For tax purposes, I would assume these distributions would be considered gifts, requiring her to observe the annual gift limitation of $28K. Are we thinking correctly?
however, Gift splitting allows a couple to donate a total of $26,000 before being taxed on the contribution



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Inheritance from overseas mimarsinan31 Miscellaneous 1 01-16-2017 10:09 PM
Inheritance WHANSMA Income 1 10-18-2012 01:09 AM
Inheritance Tax bone1124 Miscellaneous 0 10-30-2009 12:12 AM
Corporation distributing appreciate property Karl C-Corporation 0 06-14-2009 08:23 PM
Inheritance Tax lcarrero Miscellaneous 0 03-13-2009 01:13 PM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning
 
 
 

» Recent Tax Q&A
No Threads to Display.