Would you wait until 2011 to gift money away (no gift/estate tax 2011)

Reply #22

pigsNtrees — Tue, 20 Mar 2007 23:04:49 GMT

My money, my decision, if, when and who will share.

Reply #21

MegaWinner — Mon, 19 Mar 2007 03:07:39 GMT

This is what I got from reading several IRS info related websites. I thought it said that just for 2011, the Gift/Estate tax will be nothing for that year.

The choices you list above sound as if the winner is on a power trip. Do it my way or suffer the consequences. A good tax consultant can help you make these important decisions. Anyway, I will apologize if I am incorrect, but I think you are misreading the tax laws.

No no no lol! You misunderstood me. I base that off of not w... [ More ]

Reply #20

emilyg — Sun, 18 Mar 2007 23:40:17 GMT

will call attorney first thing in the morning lol

Reply #19

justxploring — Sun, 18 Mar 2007 23:32:57 GMT

Adopt me please! I don't eat too much. LOL

Reply #18

emilyg — Sun, 18 Mar 2007 23:29:51 GMT

Yep. Do it now, too. With great pleasure.

Reply #17

tntea — Sun, 18 Mar 2007 23:23:58 GMT

LOL... could have said at the Ford dealership and see if you and your hubby got a new vehicle or two...lol

My family is very important to me. I wouldn't worry about gift taxes with a huge jackpot...

I do worry about education though... especially for today's generation. It is not so much as the reading , writing and arithmetic as the important of decision making..

We have so many lazy young kids this day in time.. And for those that do work.. they live for the minute and put not... [ More ]

Reply #16

justxploring — Sun, 18 Mar 2007 22:48:35 GMT

Sorry, tntea. That's what I figured. It really was none of my business. It's just that I get the impression from your posts that your family is very important to you and a very big part of your life. That's why your first comment surprised me.

I don't think children should be brought up to be lazy and not work for a living, but providing a good education, medical care and helping someone you love get a head start in life if you have tons of dough would be a great feeling. I never cared... [ More ]

Reply #15

tntea — Sun, 18 Mar 2007 22:40:05 GMT

I am in that boat too.... My children have access to my bank account..

lol

Reply #14

tntea — Sun, 18 Mar 2007 22:38:38 GMT

oh yes... Education will get the biggest part.. First education to the parents... Things have to start at home. My students would not be as slow as they are if the parents were more educated.. Then work with life skills with high school.... Lots of money going there. Children this day in time are so out of touch with reality.. I would like to see a reality camp for Juniors and Seniors started so they can get prepared for the rude awakening they will soon encounter..

My parents would rece... [ More ]

Reply #13

orangeman — Sun, 18 Mar 2007 21:57:29 GMT

One suggestion is to incorporate your winnings into a Trust, hire your relatives and pay them an income instead of offering it as a gift. The tax exposure is lower and you can even create an insurance plan and pay for their medical benefits. I think the tax on straight earnings is lower than the gift tax. I still believe the government is enslaving us in the name of the corporations. Isn't that called fascism? Just wondering.

Orangeman

Reply #12

justxploring — Sun, 18 Mar 2007 21:50:51 GMT

Aha, it took some googling but I found an article. The Federal Gift tax will not be repealed, although it will be decreased to 35% under this act. I know it states that on the IRS web site, but I wanted to find something a little easier to read.

http://austin.bizjournals.com/austin/stories/2001/07/23/focus4.html

However, imagine if people who stand to inherit tens of millions will plot the demise of a rich relative in 2009. (the exemption will be $3.5 million maximum then, however.

Reply #11

JAP69 — Sun, 18 Mar 2007 17:14:45 GMT

If I had won millions and I wanted to give money to my children or grand children it would be very simple.

Draw out the cash and hand it to them.

I do it now but on a small scale. real small

My money and I will do as I da*** well please with it.

Reply #10

justxploring — Sun, 18 Mar 2007 16:59:40 GMT

Bravo, Orangeman! I agree that taxation is theft, only because the government spends the money we earn any way it pleases. It uses trillions of dollars to destroy a foreign country instead of providing shelter for the homeless and food for the hungry. It uses our taxes to destroy the environment instead of to save it.

I want to comment on how eloquently you described the whole idea of gift tax. It is telling people who have either been very wise or frugal that they cannot leave their he... [ More ]

Reply #9

orangeman — Sun, 18 Mar 2007 12:35:09 GMT

The government has no right to have that much control over people's lives. We have been so busy trying to get something for nothing over the past 75 years that we have sold our freedoms for 30 pieces of silver. Between greedy lobbyists and toady politicians we are no longer a free people. We have voted ourselves into chains. It is interesting that we plot and scheme to avoid taxes that are immoral and unconstitutional. The poll itself is idiotic. The real answer is to refuse to pay at all.... [ More ]

Reply #8

justxploring — Sun, 18 Mar 2007 11:37:45 GMT

I assume you are joking, right

Reply #7

tntea — Sun, 18 Mar 2007 10:57:26 GMT

I don't plan on giving any away..

Reply #6

justxploring — Sun, 18 Mar 2007 10:06:29 GMT

Where are you getting this information? The estate tax law is changing in 2010. AFAIK, the gift tax will not be repealed, but I might be wrong. They are 2 different things. Anyway, you can give much more than the $12,000 allowable in one year by applying the unified tax credit, so you must be talking about an awful lot of money at once. Even if you exceed the $12,000 limit annually, the excess is applied toward your lifetime gift tax exclusion. So if you know 10 people you plan to help, they... [ More ]

Reply #5

MegaWinner — Sun, 18 Mar 2007 05:29:27 GMT

And my response will be, No no no, either YOU take care of the tax or your not getting a single penny. If you don't like it, too bad.

Of course if its a close family member I might feel a little bad later but I do pretty good at not making important decisions based of emotions.

Reply #4

Coin Toss — Sun, 18 Mar 2007 05:27:03 GMT

This is where greed really comes in...I can actually imagine people saying, You've got millions, you take care of the gift tax.

Reply #3

MegaWinner — Sun, 18 Mar 2007 05:19:37 GMT

Remember, if you give it to them now, either you pay the 46% gift tax or it comes out of their share. Either way, your giving away 46% to uncle sam.

Reply #2

grengrad — Sun, 18 Mar 2007 05:05:28 GMT

I would give them the option of spliting it up between now and then however they wished.

Reply #1

Coin Toss — Sun, 18 Mar 2007 04:37:16 GMT

Not sure about waiting til 2011, but I'd definitely try to do something before 12-21-2012

http://www.december212012.com/articles/mayan/index.shtml

Would you wait until 2011 to gift money away (no gift/estate tax 2011)

MegaWinner — Sun, 18 Mar 2007 04:26:12 GMT

If you were to win a large jackpot in within the next 2 years, would you make your Share List wait until 2011 to get their share when there is no Gift/Estate tax? This means there would be no 46% gift tax on the money you would gift away and therefore the people on your Share List would get 100% of what you wanted to give them, not 54% like it would be if you give it to them now.

Me, I would let them choose but warn them that if they take it now, they pay the gift tax out of their share