Gift to US resident taxpayer (US Citizen) from a Canadian Parent
Posted on 14. Oct, 2010 by Phil Hogan, CA 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
Donna
XXXXXX
Answer
Hi XXXXXX
As long as you are not a US taxpayer (US citizen or green card holder) 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 US tax considerations to worry about.
Only the donor (if a US taxpayer) will be liable for gift taxes.
Hope that helps.
Phil
Phil Hogan, CA
250-661-9417
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