spowell

Guys,

I have been given by my parents in the UK a sum of money that i want to send to my BOA account here in Texas. My question is, am I liable to pay any tax on that money if I wire it to my BOA account .
If there is any official documentation anywhere I would love to be able to find it. I would hate to pay tax on money that was never in the U.S in the 1st place

thanks

Michael

There isn't a US gift tax on gifts received only on gifts given. Since I assume that you parents are UK citizens and are the givers of the gift, then there wouldn't be any US tax burden on them

However even if they were US citizens, there is an annual exclusion of $14,000 per year per person and any excess can be applied to the $5.34 million lifetime exclusion.

What is the Gift Tax and Who Pays It? - Wills & Estates

http://en.wikipedia.org/wiki/Gift_tax_in_the_United_States

colin_w

As I understand it, gift tax (if any) falls on the giver. The recipient doesn't owe tax.

If the giver is in the UK, and lives for seven years after the gift is given, the tax is zero. However, if the giver dies sooner, HMRC considers all or part to be an inheritance and their estate might have to pay inheritance tax:

HM Revenue & Customs: Inheritance Tax

If the giver dies within 3 years, 100% is taxable. 3 to 7 years is prorated.

Cook_County

Don't forget if the number is big enough to report the money on the 2014 FBAR and Form 8938.

Pulaski

In addition to the advice given above, there is no tax due on money transferred into the US, ever.

nun

You would only need to file those forms if you owned or had signature authority over foreign accounts above certain thresholds. If the gift was over $100k you would file 3520