Now would anyone owe more taxes? If so who would owe and how much?
I'm so glad you reminded me of this because I totally forgot to bring this subject up earlier in a thread I was going to start a few weeks ago. Based on the show I was listening on the AM radio, these tax lawyers knew what they were saying. They were citing examples left and right concerning gifting.
One of the few cases I remember stood out. It was of some lady who won, I forget where, but it was about 10 million. She thought that the first tax covered all her obligations, but she was terribly wrong because she didn't research first.
The friends and family who she gave gifts to also had to pay a high rate of tax, and if my memory serves me, there were about 3 or 4 people she gave to, if not more.
It was a sad ending because the poor girl lost pretty much everything. Barely a few thousand or so were left, if that much, so yeah, got to be knowledgeable about the new realm you will be entering when winning large amounts of monies.