Monday, April 4, 2011

Gift Tax Returns

Yes, tax day looms, and it is just not a deadline for income tax forms. Also do, but often overlooked, are gift tax returns. The giftor, not the recipient, is responsible for filing the form.

If you gave more than $13,000 in cash, property or gifts to anyone other than your spouse in 2010, you must report the gift on this tax return. But misunderstandings abound and many Form 709s that should be filed are missed.
This article, by Deborah Jacobs, does a nice job summarizing when and who needs to file a gift tax return. Addressed are special considerations for married couples and people gifting to a 529 Plan.

As always, blog posts do not constitute legal or tax advice. You should consult an attorney and or tax accountant if this situation fits your life.

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