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Rank: Newbie
Groups: Member
Joined: 1/9/2012
Posts: 6
Location: Ohio
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I am a dual citizen and have been a US resident for the past 15 years. During that time I have twice received gifts from my mother of $30,000, who is a Canadian citizen and has always been a Canadian resident. She has never had any US ties. I simply put this money in a Canadian bank account which I have kept. (I do report my foreign accounts to US treasury each year). Should I have done anything tax-wise in either US or Canada. Did I need to report this somehow? If so, what should I have done?
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Rank: Advanced Member
Groups: Member
Joined: 3/13/2009
Posts: 300
Location: Columbia MO
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Only gifts of more than US$100K need to be reported in US (on form 3520) but it is never taxed. Nothing need be done in canada
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Rank: Newbie
Groups: Member
Joined: 2/3/2012
Posts: 8
Location: Kent
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nelsona wrote:Only gifts of more than US$100K need to be reported in US (on form 3520) but it is never taxed. Nothing need be done in canada Yes this is perfect answer, upper than 100K $ gifts United government apply tax.
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Rank: Advanced Member
Groups: Keats Internal
, Member
Joined: 11/21/2008
Posts: 62
Location: Phoenix, AZ
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If your mother has no US taxpayer obligations, she does not report the gift. As the recipient, you do not report the gift at any amount as a gift is not income. Your tax reporting obligations occur when the cash gift earns income and/or is a foreign account. There are completely different rules if you make gifts to her.
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Rank: Advanced Member
Groups: Member
Joined: 3/13/2009
Posts: 300
Location: Columbia MO
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jhonlarson wrote: Yes this is perfect answer, upper than 100K $ gifts United government apply tax. No, there is no tax over $100K, it simply must be reported, that is all.
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Rank: Advanced Member
Groups: Member
Joined: 3/13/2009
Posts: 300
Location: Columbia MO
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Virginia wrote:If your mother has no US taxpayer obligations, she does not report the gift. As the recipient, you do not report the gift at any amount as a gift is not income. Your tax reporting obligations occur when the cash gift earns income and/or is a foreign account. There are completely different rules if you make gifts to her. Not correct Virginia. All foreign gifts RECEIVED of over $100K must be reported on Form 3520. That is why it is called "Annual Return To Report Transactions With Foreign Trusts and Receipt of Certain Foreign Gifts" http://www.irs.gov/pub/irs-pdf/i3520.pdf "4. You are a U.S. person who, during the current tax year, received either: a. More than $100,000 from a nonresident alien otherwise noted. individual or a foreign estate (including foreign persons related to that nonresident alien individual or foreign estate) that you treated as gifts or bequests;..."
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Rank: Advanced Member
Groups: Keats Internal
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Joined: 11/21/2008
Posts: 62
Location: Phoenix, AZ
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Thanks, nelsona. I realized that soon after I posted and am just now getting back to withdraw my statement! Happy Monday, everyone!
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