Gift limits for husband and wife


J

JHB

Hi:

Can someone answer the following question:

I understand there is a $13,000 limit on the amount that any
individual can give to another individual without gift tax being
involved, and that for a married couple giving the amount is doubled
to $26,000. Now, can my wife and I give $26,000 to my son and ANOTHER
$26,000 to his wife without the gift tax being invoked, or is there a
limit for the couple receiving the money of $26,000?

Thanks in advance for an answer.

regards

John Baker
 
Ad

Advertisements

S

Stuart A. Bronstein

JHB said:
Can someone answer the following question:

I understand there is a $13,000 limit on the amount that any
individual can give to another individual without gift tax being
involved, and that for a married couple giving the amount is
doubled to $26,000. Now, can my wife and I give $26,000 to my
son and ANOTHER $26,000 to his wife without the gift tax being
invoked, or is there a limit for the couple receiving the money
of $26,000?
Yes.

But beware of one thing. If you don't live in a community property
state, you will have to be careful to be sure that the husband and
wife each give their own money. If it is money from a joint fund but
not equally earned by both spouses, you will have to file a gift tax
return and elect gift-splitting to make it work.
 
Ad

Advertisements

J

JoeTaxpayer

Hi:

Can someone answer the following question:

I understand there is a $13,000 limit on the amount that any
individual can give to another individual without gift tax being
involved, and that for a married couple giving the amount is doubled
to $26,000. Now, can my wife and I give $26,000 to my son and ANOTHER
$26,000 to his wife without the gift tax being invoked, or is there a
limit for the couple receiving the money of $26,000?
John, I recently wrote an article at the TurboTax blog on this topic,
http://blog.turbotax.intuit.com/tax-tips/taxes-101-the-gift-tax/

The bottom line is you have it right. 2 givers x 2 recipients = 4 times
the $13K. Depending on the intent of the gift there are other
considerations. For example, there are no limits when paying for higher
education. I can pay the tuition bill for anyone, no limit, so long as I
wright the check directly. Same deal will medical/hospital bills.

Joe
www.joetaxpayer.com
 

Ask a Question

Want to reply to this thread or ask your own question?

You'll need to choose a username for the site, which only take a couple of moments. After that, you can post your question and our members will help you out.

Ask a Question

Top