Cant you just give cash to avoid the gift taxes on the receipients??

Reply #14

billionaire2bee — Thu, 30 May 2013 15:38:15 GMT

Also depends on how big of account you have....banks rarely want to piss off big account holders...whatever the compliances rules are...

Reply #13

dager — Thu, 30 May 2013 15:20:54 GMT

The way the bank watches you is another issue aside from the IRS. The banks don't want to get cited for internal compliance shortcomings. They probably have enough dirty business of their own to cover up without having to worry about their clients.

Some banks start an investigation on their own, and report to the IRS if they start seeing strange (for your account) deposits or withdrawals. If you don't typically have $50,000,000 in the bank and make regular large withdrawals and you suddenly w... [ More ]

Reply #12

HoLeeKau — Wed, 22 May 2013 03:35:27 GMT

Until one of them gets mad because you're not forking over enough money, or gets mad for other reasons and turns you into the IRS.

I believe it's the giver's responsibility to pay the gift tax, so you'd be the one in the pokey.

Reply #11

joshuacloak — Wed, 22 May 2013 03:33:15 GMT

its called a trust

trust trust trust trust

if u won pb/mm levels of money

a lawyer can set it up/claim it for

and if irs ever ask's why your best friend just had 2 million dropped into hes bank account

show them trust, with hes name on it

issue fixed, gift taxes bypassed

gift taxes are wrong, just like death tax is

i have right to give everthing i have to whoever i want, whenever i want, without a other human being coming in middle of me and whoever am giving it too... [ More ]

Reply #10

PlayToWin47 — Wed, 22 May 2013 02:50:07 GMT

It would be hard to say. It depends on how closely the IRS watches you.

Technically, by law, they're not exempt from the gift tax. If you're giving cash to them ... once you have given $14,000 (as of Jan. 2013) per person, anything over that is subject to the gift tax ... paid by you! If you gave it to them under the table, and they didn't go doing things that could be tracked ... like buying cars/etc., putting it in the bank, etc. ... AND if the IRS wasn't watching close enough, you MIGHT ge... [ More ]

Reply #9

billionaire2bee — Wed, 22 May 2013 00:02:11 GMT

Wait wait wait back up and re-read what I actually said LOL...I said I'd take out a miilion in cash and distribute different ammounts...Im not giving away or rather wouldnt if I have it to give millions LOL

Reply #8

gogidolim — Tue, 21 May 2013 23:37:33 GMT

So what's the actual percentage of tax for the jackpot in CA? There's no state tax but I don't know where this 35% tax thing came from.

Reply #7

yoho — Tue, 21 May 2013 22:28:57 GMT

Maybe I'm just very fortunate. But none of my close family (parents, grandparents, aunts and uncles) would act like that. Some of them are quite well off

already, and they don't spend like there's no tommorrow.

But if I had a close family member who can't control their spending, I would DEFINITELY NOT give them a cent to allow them to indulge in their bad spending

habits. I wouldn't support anyone's gambling or drug addictions. Giving them the money is tempting them to do wrong, I... [ More ]

Reply #6

savagegoose — Tue, 21 May 2013 22:15:34 GMT

but you may find they need more and more money. id prob give ones i cared about a credit card with a monthly loading. and terll them dont ovver draw it or it gets cancelled. and wont be renewed for 3 years. that way they could hang around, and not be bugging me to buy stuff fo them all the time.

Reply #5

yoho — Tue, 21 May 2013 22:06:55 GMT

My question is, why would you give millions of dollars away? I mean if you're giving away a few thousand, there's no problem. You aren't taxed anyway.

The tax is only a problem when you're giving away huge amounts. But why would you give away huge amounts in the first place?

It's not like I'm so greedy I won't even give my parents money. No. But the thing is, if lottery winners need so much financial and legal advice with their

windfall, wouldn't people who received millions from... [ More ]

Reply #4

savagegoose — Tue, 21 May 2013 21:25:57 GMT

tjhe tax office will notce $1 million turning up in peoples bank accounts. nothing to say you cant employ them and hand over an expense account, with saya credit card that gets topped up ea month.

Reply #3

JoshUK — Tue, 21 May 2013 16:47:45 GMT

A man in the UK hit the jackpot and then told the lottery that he was a family syndicate to avoid the taxes on gifting.

Reply #2

Saylorgirl — Tue, 21 May 2013 16:44:44 GMT

It just depends on how they spend the cash you would give them. If all of a sudden they are putting a large amount of cash in the bank or on a brand new car it could be a problem. Anything over $10,000 in cash being deposited is reported to the government.

Reply #1

rdgrnr — Tue, 21 May 2013 16:01:27 GMT

The IRS probably won't bother you unless you're on the President's Enemies List.

Like me.

Cant you just give cash to avoid the gift taxes on the receipients??

billionaire2bee — Tue, 21 May 2013 15:30:10 GMT

So if you hit the jackpot and want to give friends and family some money...can't you just give them cash so they wont have to pay the gift taxes? Like if I had of won one of the past two jackpots, I would have just got maybe a million in cash and handed out different amounts to friends and distant family....Would they be exempt from the taxes then