Inheritance question

[Anonymous]

A relative abroad passed away and I am getting about $50K from them as inheritance. This person was a US citizen (became one recently) with assets abroad. All his financials were abroad (his will, assets, etc.). The money will be transferred to me in a foreign country and likely stay there (not western, if that matters). AFAIK, this person has never filed an income tax return in the US (and even if they did last year, it would be for income below the taxable threshold) and the family has no clue what to file, etc.

What proof do I need to show that it was an inheritance and not a gift since it is above the annual gift tax threshold. I want to make sure they don't have to file any gift tax paperwork nor do i have to add this as income. I understand the reporting requirements for assets held abroad and additional filing requirements. Do it already and cool with it.

[Anonymous]

Can you get a copy of the will? Or something documented by their local lawyer?

[Anonymous]

I’m very sorry for your loss.

You need a good probate lawyer who understands situations like this and can explain them to you. Inheritance situations can be complicated enough without adding in that funds are outside the US.

[Anonymous]

They're dead. They never filed a US return. They don't have much to worry about. I wouldn't give this another's minute's thought.

[Anonymous]

Was this person worth more than $15 million?

It doesn’t sound like you’re the executor. It’s not your responsibility to figure out the estate taxes. And it’s unlikely that this person owes a state taxes anyway unless he is extremely wealthy, like over 15 million

[Anonymous]

Their estate will document the distribution to you.