Gift Tax

[Anonymous]

I am sorry for your loss OP.

Answering this question requires knowing the state you are in, the approximate amounts of the accounts, the approximate amount of your mothers estate, and the likely future values of your siblings estates.

It also requires knowing if the account is an IRA or an ordinary account.

It might be possible for your siblings to refuse inheritance of one third of their share of the account.

I suggest you consult an attorney. If you have not transferred the assets, you should try to not do so until you have a plan.

[Anonymous]

Anonymous wrote:They won't be taxed on it if over $19k, they just have to fill out the form if it goes over $19k in any calendar year.

It has no effect on your taxable income or tax forms as the recipient.

Doing this reduces the future estate tax exemption for them. They won’t know if they are taking a tax hit for many many years.

[Anonymous]

Anonymous wrote:

Anonymous wrote:They won't be taxed on it if over $19k, they just have to fill out the form if it goes over $19k in any calendar year.

It has no effect on your taxable income or tax forms as the recipient.

Doing this reduces the future estate tax exemption for them. They won’t know if they are taking a tax hit for many many years.

Sorry, should have appended "assuming your sister will not give you $14 million over the course of her life"

I think that's a pretty reasonable assumption for 99.99% of people.

[Anonymous]

Anonymous wrote:

Anonymous wrote:They won't be taxed on it if over $19k, they just have to fill out the form if it goes over $19k in any calendar year.

It has no effect on your taxable income or tax forms as the recipient.

Doing this reduces the future estate tax exemption for them. They won’t know if they are taking a tax hit for many many years.

They might already know. We've know since about 40 that the "estate tax exemption" would most likely be an issue for us, so we started planning back then.

[Anonymous]

Anonymous wrote:Each sister can give you the full gift amount of 18k. Plus they can give your husband 18k each too. So easily you could receive 18k x 4= 72k yearly.

Or just fill out the gift tax forms.

This

[Anonymous]

Anonymous wrote:

Anonymous wrote:My mother, who just passed away inherited an investment account from her sister. My mother thought she could only designate just two people. so,my oldest and middle sister are the beneficiaries, and I am their beneficiary if something happens to one of them. I love them both, so I’m not trying to do away with either one of them We are in agreement that the money should be divided evenly, but we are not allowed to add me at all. Our aim is to avoid the gift tax. We have decided if we have no choice, we will just divvy it up between the three of us, but is there any way around this? The amount is over the $18,000 gift tax limit. Any advice would be greatly appreciated

Each sister can give you $19K/year. If both have a spouse, that's another $38K. They can keep giving you each year until your share is transferred over.

If the sisters are married, their spouses could also gift you and your spouse money.

[Anonymous]

Assuming that you would inherit equally with your sisters per your mothers will or absent a will under the intestate laws of the state where she died (this is likely) your sisters can repudiate the share that should go to you. This would then send it to the estate where it could then be distributed to you

[Anonymous]

Anonymous wrote:Assuming that you would inherit equally with your sisters per your mothers will or absent a will under the intestate laws of the state where she died (this is likely) your sisters can repudiate the share that should go to you. This would then send it to the estate where it could then be distributed to you

This could work but sounds unnecessarily complicated. C'mon OP, give us a $ amount. If this is 100k, you can get there with a year or two of gifts. If this is 100MM you may need to get creative...