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
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.
John, I recently wrote an article at the TurboTax blog on this topic,
Joe
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