Hello I have a question for the more knowledgeable folks out there. I received a check last year (a gift from my father) for $20,000 and want to claim it as income on my 2007 tax returns (so I can prove I made more than a certain amount)...how can I do that? What does my father need to do? Thanks in advance for any help.
Question about Income source
Jan 26, 2008
2 Replies
a gift from you father is not income. if your father paid you for work and he filed payroll tax forms last year (and paid the employer payroll taxes last year) and you paid the proper tax withholding last year that would qualify as income.
Gifts are not included in gross income.
On the other hand, donors of gifts (not recipients) must pay taxes on gifts over the $12K allowance unless he wants to use the unified tax credit for gifts and estates. Your dad must disclose this information to his tax preparer.
Join the Discussion
Have something to add? Share your thoughts — no account required.
Didn't find your answer?
Ask the community — no account required