Cross Border Tax Q&A

Gift to US resident taxpayer (US Citizen) from a Canadian Parent

October 14, 2010

3462

I have helped hundreds of people successfully navigate from the US to Canada. If you're thinking of moving or retiring to Canada contact me today to chat about your plans.

I can be reached via email at phil@philhogan.com, by phone at 250-661-9417 or through my contact page here.

I look forward to speaking to you soon.

Phil Hogan, CPA, CA, CPA (CO)
Cross-Border Tax and Investment Specialist

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

1 COMMENT

Tracey J Collins May 14, 2022 At 8:44 pm

Hello;
I have a timeshare in Maui for sale. I live in Canada and I am not a Canadian citizen. I have a person interested in buying the time share and wants us to make a gift for it. Is this legal?
thanks

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