Canadian gifting money to their US citizen Son

Posted on 07. Nov, 2010 by in Cross Border Tax Q&A



Question

Hello.. Can you please answer for me:  I am Canadian, and my grown son lives in the USA, and recently became a US Citizen.  If I “gift” him money (such as for a down payment on a house).. will he be required to report this on his taxes?
I searched everywhere on the IRS website without any luck.
Thanks for your help

XXXXXX

Answer

Hi XXXXXXX

As long as you are not a US citizen and you don’t plan on gifting your son more than $100,000 (would need to file form 3520) you shouldn’t (or you son) have any tax considerations to worry about.

Only the donor (if a US taxpayer) will be liable for gift taxes.

Hope that helps.

Regards

Phil

Phil Hogan, CA
250-661-9417

___________________________________________________________________

If you would like to reach me to discuss a tax or accounting matter please call 250-661-9417 or email me at phil@philhogan.com.

The accounting and tax information provided on this website is for informational purposes only and does not represent binding professional advice. Appropriate tax treatment and advice will depend on an individuals particular circumstances and set of facts.

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One Response to “Canadian gifting money to their US citizen Son”

  1. John

    08. Nov, 2010

    Hi Phil

    If I (US citizen) gift money to my Canadian wife (non-US person) will I be required to pay gift tax?

    Thanks

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