This subject is actually near deer to my heart. My wife just inherited $140,000 due to a loss in her side of the family. She plans on giving half of it to her brother who didn’t inherit anything. My understanding is we can give him the whole 70,000 which I understand is over the annual limit but we simply file the 709 to say that we did it and we won’t be taxed on it. And we wouldn’t actually have to pay taxes until we exceeded $13 million in gifts to one individual . Am I correct?
You are correct.
Sounds correct, but ask a accountant.......