News Article From: 09-09-2013
How Mom and Dad Can Gift a Piece of the House For tax purposes , the IRS considers a gift of equity the same as a cash gift, subject to maximum allowable annual tax-exemption limits. That amounts to $14,000 a person in 2013. However, each parent can give $14,000 to both a husband and wife, for a nontaxable sum of $56,000. These annual gifts are not counted toward the parents' lifetime federal estate-tax exemption. Parents who want to give more than the $56,000 allowed under the annual gift-tax exemption may prefer to claim the gift under the lifetime estate-tax exemption instead. Read article - Yahoo! Finance |