Legal Question in Tax Law in California

May my girlfriend 'gift" me money and, if so, how much without tax implications?


Asked on 4/30/10, 3:37 pm

1 Answer from Attorneys
Ken Koenen, LLM Law Office of Ken Koenen

Not sure why the quotes around the work "gift." If it is truly a gift, then she can gift $12,000 per year without any tax ramifications. She can gift $1 million during her lifetime above that annual amount, but must report it to IRS. There is a $1 million lifetime exemption.

If she is "gifting" the money to get it out of her name, because someone is or is about to sue her, that would be considered a fraudulent transfer and is illegal and a criminal offense.

Read more
Answered on 5/05/10, 4:24 pm


Related Questions & Answers

More Tax and Taxation Law questions and answers in California