Home     About Us    Contact Us     Contribute     Privacy
Investing
Stocks
Bonds
Mutual Funds
Biz
Credit
Career
College
Economics
Tax
More
 
 
Marketplace
Related Articles
More
Related Definitions
Related Categories
Tip of the Day

Tip of the Day Borrow No More Than 30% of Your Available Credit

Borrow No More Than 30% of Your Available Credit - You should borrow no more than 30% of your available credit each month if you wish to keep your credit...

read entire tip

Related Podcasts
Recently Added
Other Great Sites
 

Foreign Gift Tax

Getting gifts from people out side of your national borders just like getting them locally attract taxes depending on the prevailing tax conditions. Many countries have systems in place to check the movement of any gifts and their values. Such measures are necessary in order to check on cross border crimes or any possibilities of irregular dealings. In case any body receives gifts from foreigners, it is their duty to report to the tax authority even though no tax will be due on the gift. This is because only the donor is supposed to pay tax on any gift item if at all it exceeds the annual limit of gift tax exemption.

Since taxing a foreigner may not be an easy task or in some cases, it may amount to double taxation as the donor might have paid taxes from his/her country of origin. In the case of monetary gifts from foreigners, the U.S is least likely to tax the donor or the recipient. However if the foreigner gives a gift in the form of a U.S based property like a house or real estate, then the gift will be eligible for taxation if it exceeds the gift tax limit for the particular year. Whether the gift attracts a tax or not, the recipient of the gift is required to fill the form 3520 within the next tax year in order to notify the IRS of the gift. The tax year ends every April 15th and therefore returns should be filled before this date.

Threshold for the filling of foreign gift tax form 3520

There are two thresholds for filling this foreign gift tax form; the first threshold is of gifts exceeding $100,000 received from non resident foreigners and given to resident aliens in the U.S. The resident alien could b relatives to the non resident foreigners or may be linked to their estates. The other threshold is of any gifts exceeding $13,258 given to people within the U.S from foreign companies or business entities. The government is usually quite cautious about such gifts as they may be compensations for some unclear dealings given that it is not very common for businesses or co operations to give out gifts any how.

Lastly it is quite important to note that the bottom line of any gift tax is dependent on the donor of the gift, the recipient only has the obligation to fill the necessary form 3520 as a means of informing the authorities of the gift and its possible source.

Discuss It!
1 2 >

C Raines said:

if a gift from switzerland for $99,900 to a NON Resident US Alien still have to file the 3520 form?

Arabic Coffee Recipes said:

I simply want to tell you that I am new to weblog and definitely liked this blog site. Very likely Iâm going to bookmark your blog . You absolutely have wonderful stories. Cheers for sharing with us your blog.

buy real youtube comments | how to get subscribers on youtube said:

This is right the info I am exploring omnipresent. Acknowledges for your blog, I legitimate attest your blog. This is a stunning blog.

Essay Thinker said:

I have been looking up piece inscription uk. I would love to show a array of treatises written by these manuscript utilitys in appendage to sharing your useful perquisites to garnish on my treatise inscription. Which are part of the legitimate uk benefits you distinguish of?

Injustice cheats android said:

In this particular article, you will see a summary, satisfy browse this post.

charms to buy said:

Amazing, this is great as you want to learn more, I invite to This is my page.

The Vales EC Singhaiyi said:

Wow! What an eye opener this post has been for me. Very much appreciated, bookmarked, I canât wait for more!

kids summer gymnastics camp dubai said:

Pretty enter. I was checking constantly this blog further I'm impressed! Exceptionally convenient information specially the abide constituent I caution for such information a many. I was seeking this irrefutable info for a lengthy date. Acknowledge you moreover saintly fortune.

Online said:

My spouse and i in addition make use of mastering your exams, nevertheless find out that will numerous men and women really should stay with dissertation to try to put worthy of towards your legitimate blog site relieve. <a href='http://charliebewleyonline.com'>Online</a>

Ghulam Abbas said:

Thanks for book such a nice doctrine, I stumbled beside your blog further recite a limited announce. I want your vogue of book... fundamental mattress Thanks for book such a excellent condition

facebook like|how to get twitter followers said:

My partner and i has been extremely pleased to get this web site. I desired to be able to many thanks because of this fantastic examine!! My partner and i absolutely experiencing each bit of that and also We have an individual book marked to see fresh products an individual submit.

http://www.sytropinbonus.com/ said:

Hey there â wonderful site, plainly checking just a few blogs, is found a fairly good strategy you have been by using. Iâm right now by using WordPress for those relating to my own blogs then again who wish to improve one example of these with the strategy very like ones own to be a evaluation do the job. A product extremely you can indicate using this?

Law Firm Marketing said:

Hello I stumbled upon your internet site in error at the time document is actually looking ask on the subject of this acne condition, My spouse and i must say your internet site is utterly important My spouse and i besides take pleasure in all the trend, all the stunning!. My spouse and i donât contain the few moments today to make sure you definitely have a look at all the site but There is booklet prepared it and besides expand the QUITE QUICKLY SYNDICATION feeds. Now i'm once derived from one of moment as well as two. with thanks to get yourself a terrific blog.

massage chairs for sale said:

I understand your dexterity on this. I need assert we should enjoy an online symposium on this. Essay entirely notes desire proximate the colloquy even aside! Further determination restrain the advantages from this info.

http://homesecuritysystemsreviewed.org/ said:

Awesome dispatch integral of convenient lagniappes! My position is fairly untried furthermore I am too holding a strong era getting my lecturers to license remarks. Analytics registers they are impending to the location however I experience a touch "pipsqueak likes to be initial

product activation failed office 2010 said:

Well to be frank I had totally no idea about the things that we are being dealt with over here. This would be something that only can be learnt with a lot of years of experience and could not be something that would be written in any books.

toronto rug cleaning said:

Amazing scrawl-up, I am a bulky adherent in commenting on blogs to instruct the blog hacks recognize that they've added something useful to the macrocosm far maze!.

ExamsBoost said:

Your blogs serve again every more amount is so entertaining additional beneficial It delegates me come withdrawal again. I volition immediately capture your aggravate to tarry abreast of some refurbishs.

Austin MLS said:

our blogs serve again every more amount is so entertaining additional beneficial It delegates me come withdrawal again. I volition immediately capture your aggravate to tarry abreast of some refurbishs.

Austin MLS/http://www.prideoftexas.net/search_properties.htm said:

double taxation. Ohh it can press more than enough burden of Payers.

Most Popular Articles
Most Popular Definitions
 
Daily Definition

Definition of the Day Minority Interest

Minority Interest - Minority Interest is shareholders whose combined shares represent less than half of the total outstanding shares issued by a corporation have the minority interest in that corporation. In many cases, the collective holdings of the minority shareholders are considerably less than half of the total shares. In...

read entire definition

 
 

 

 

Home     About Us    Contact Us     Contribute     Sitemap

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Copyright © 2009 TeenAnalyst.com