AboutJay Allen Finn, CPA Expertise IRS Audits. All Collection Tax problems; specifically but not limited to, delinquent returns, bank levies, liens, garnishments of wages, Also specializing in Offer in Compromise. Limited to 1040/ personal tax issues
Experience 27 years experience as a CPA in the IRS defense area following a position as an IRS Auditor in the oil and gas industries.
Organizations Texas Society of Certified Public Accountants (Peer Assistance Committee), Houston Chapter of the Texas Society.
Publications Submit your articles.com
Education/Credentials BBA - Bachelors of Business Admin., Magna cum laude, Series 6 and 68 - Registered representative, Series 65 - Financial planner. Certified Public Accountant
An elderly couple are without children who will help them with all sorts of little things. They are very wealthy and kind. I never asked a dime for gas or anything, but helped them without any financial compensation. I just wanted to help as did my partner. We nearly fell over when I was given a $60K check made out to me for the purpose of buying a pickup and warranty for my partner and me for business and to keep me safe in travel. We were to be able to leave work to help them when needed.
The couple were going to pay the gift tax. However, since then the husband has passed away and the wife is no longer capable. The court has given the direction of their estates to her relatives.
What form and how much of the funds should I/we declare as income? I have little income myself now with the economy upsidedown.
Thank you in advance for any ideas and help you might offer. I want to do this correctly.
Cordially,
Lee
Answer Lee,
The person who gave the gift (donor) is required to file Form 709, "United States Gift Tax Return", if the amount given was over $12,000. In your case, the donor's relatives would be required to file this form and pay any gift taxes required. Since it was a gift, you are not responsible for paying any taxes on the amount received.
