What are your thoughts on Gift Tax?

Reply #20

cope — Tue, 24 Aug 2010 01:22:57 GMT

my avatar should adequately reveal my position on the gift tax.

Reply #19

jwhou — Tue, 24 Aug 2010 01:10:56 GMT

The lotteries are also government organizations so does it make sense for them to tax the money they give out? If you've ever worked for the State, you know that the State refuses to pay sales tax as it would just be paying taxes to itself (bummer on the expense reports). The same argument should apply to lotteries. Of course lotteries are usually State governments and it's the Federal income tax that takes the big bite.

In other countries (Canada, UK etc.), a lottery prize is considered a wi... [ More ]

Reply #18

jwhou — Tue, 24 Aug 2010 01:01:28 GMT

The giver pays the gift tax. The recipient doesn't pay income tax on the gift received. If it's a distribution from a trust then the recipient pays income taxes. It still gets double taxed. Then there's the inheritance tax... Seems like the government wants all the rich people to declare London, England as their permanent residence and forgo US citizenship (the UK only taxes on domestic income not world income). An awful lot of millionaires have townhomes in London and in Rio de Janeiro, one as... [ More ]

Reply #17

jwhou — Tue, 24 Aug 2010 00:54:30 GMT

It sucks. The money has already been taxed as income, it doesn't need to be taxed as a gift too. A gift of $100,000 can cost the giver $55,000 in gift taxes. Of course, it's a great excuse not to give too much out to relatives and friends.

It's another reason for setting up a trust so what you give only gets taxed as income.

Reply #16

Hermanus104 — Tue, 24 Aug 2010 00:45:00 GMT

Quid? I don't even think lotto winnings should be taxed. My guess is that the government considers it income, and therefore it needs to be taxed. I think lottery winnings should not be considered income and should not be taxed. You won the money; the government shouldn't take half of it away.

Reply #15

Raven62 — Sat, 21 Aug 2010 02:39:45 GMT

Gift Tax=40%

You can't Win: Pay the kids $50K to wash the car: They Pay Income Tax on the $50K.

Reply #14

drhymes74 — Sat, 21 Aug 2010 02:22:22 GMT

I have looked into the various ways to claim, protect the assets, various ways to deposit the money.

I know what I want to do with the money. Generally speaking, how I want to allocate the money to family and charity. The goal being to prolong the wealth over my lifetime and my children's lifetime. When/if I win and what is going on in my life may determine how I allocate this money.

Right now, my goal is to win....I cross the other bridges when I get there, knowing that I simply cann... [ More ]

Reply #13

drhymes74 — Sat, 21 Aug 2010 02:11:27 GMT

i don't know the %, if there is one, but it would probably trigger a W2 that your kids would get or would have to get. The question may not be are they overpaid to wash your car, it may be : are they old enough to receive that kind of money?

If the child is an adult, A Family Limited partnership with them as part of it might be in order. You will also have to consider issues like your children and divorce. They talk about winners and divorce, but the last thing that any parent is going to wan... [ More ]

Reply #12

badboy00z — Sat, 21 Aug 2010 01:41:03 GMT

Anybody know what % the gift tax is?

It's also said that if you get something in return, it doesn't count as a gift. If you give your kids $50k and they have to wash your car every week, can the Government say it's too much money for the task?? Do you need written proof of service or product to present to the Government

Reply #11

drhymes74 — Sat, 21 Aug 2010 01:13:16 GMT

Gift tax is $13,000 cash per year per person. if married, you and a spouse can each give away $13,000 cash to any one person per year.

if I'm not mistaken, if you were to pay for a niece's or nephew's education, directly to the school, it doesn't count. Say the tuition and room and board total over $30,000, you can pay this directly to the school's bursars office and still give $13,000 (or $26,000 from you and your spouse) to the niece or nephew.

The other catch is say you give away $13,00... [ More ]

Reply #10

psykomo — Sat, 21 Aug 2010 00:35:12 GMT

JACKPOT 22 ALL LP member's

$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$

Corvette in every LP (member's POT)$$$!!

2 VETT's in UR garage LP Better

Reply #9

psykomo — Fri, 20 Aug 2010 23:59:38 GMT

BB00z what is wrong witch TAX????????

I bet ur mother is on wlfare SSE foodstamp'$$

Maby that is why weathty people pay taxes $$$$$$$$$$$$$$$$$$$

PAY UR TAXE'$!

people in indonesia india cubia haiti rrrrrrrrrrr

STATIVING 2222222222222222 DEATH !!

HELP 2222222SAVE D people now

Reply #8

Rick G — Thu, 19 Aug 2010 00:05:00 GMT

Amen, sister! It was already taxed.

Reply #7

joshuacloak — Wed, 18 Aug 2010 22:47:17 GMT

all tax's are wrong

the fact anyone thinks its okay to take my money and give it someone else, is nonething but Theft and the belief theft is Okay

i hate with a passion any person on earth who's for any Tax

, however small or large or who it effects

if people want a big govt, they can work and earn millions and donate their hard earned money them selfs

govt should only be funded by willing charity setup,

if we all control how much money they get, they Now work For the... [ More ]

Reply #6

Pinkpansies — Wed, 18 Aug 2010 21:18:49 GMT

If you are married then you can double the amount that you give since there are two of you. One reason the government has the rule is because they don't want people to give their fortunes away and not have to pay taxes on it, after all the government has to have their fair share, right?

I don't think it is fair and I think that sometimes we get taxed too much and the money gets wasted, but we still do live in a pretty great country. The best thing to do if you win the lottery is to hire a goo... [ More ]

Reply #5

savagegoose — Wed, 18 Aug 2010 09:12:02 GMT

if you are rich enough , im sure 100k going missing would be enough for IRS to claim a tax dodge and tax you on assumed earnings anyhow.

Reply #4

OwlCreekBridge — Wed, 18 Aug 2010 08:43:33 GMT

the government is not here to serve. we are tax cattle and the government is the rancher. like the rancher lets cattle graze his land and offers cattle protection to fatten them up to benefit the rancher. We are given rights and we're offered protection to make us higher earning tax cattle to benefit the government.

One reason the government issued gift tax is to keep rich people from using their children, friends and relatives as tax loopholes. If I can legally avoid a higher tax bracket by... [ More ]

Reply #3

johngreek — Wed, 18 Aug 2010 06:40:31 GMT

you can give them 100k tax free if they hide they money under the matress

Reply #2

savagegoose — Wed, 18 Aug 2010 05:42:57 GMT

gift taxes will make sure i only hand over $12k when family comes a beggin

Reply #1

sully16 — Wed, 18 Aug 2010 04:17:57 GMT

we should be able to do what we want with our money without government interference.

What are your thoughts on Gift Tax?

badboy00z — Wed, 18 Aug 2010 02:24:21 GMT

For many people out there, winning the lottery means they can help out friends and family members with financial problems. But Government requires the donor to file Gift Tax if the amount is over $12,000 (somewhere around there). Besides it being another way for the Government to take money away from generous people, what is the point of a Gift Tax?? How does Gift Tax benefit the people that the Government supposedly serve?

Maybe that is why wealthy people don't give hand outs.