4 ms·
You really don't want to pay tax on $1M+ in gifts.
by TillE 14y ago
You really don't want to pay tax on $1M+ in gifts.
- olalonde 14y agoI am not very familiar with tax law, care to explain?
- learc83 14y agoThey would be forced to pay a gift tax if all of the pledges were donations instead of exchanges. http://www.irs.gov/businesses/small/article/0,,id=164872,00.html http://www.irs.gov/businesses/small/article/0,,id=164872,00....
- eurleif 14y agoUnless I'm missing something (IANAL or CPA), the donors would have to pay the gift tax, not the donee, meaning that the tax would be assessed individually on each donation amount, not on the total; and each donor has an annual exclusion of $13,000, so unless an individual donor gave more than that amount, it's a total moot point.
- ebrenes 14y agoWhich they? That same site says that it's the donors who would have to pay the tax, not the recipients: The donor is generally responsible for paying the gift tax. http://www.irs.gov/businesses/small/article/0,,id=108139,00.html http://www.irs.gov/businesses/small/article/0,,id=108139,00....