Received Large Tax Gift

msantangelo
msantangelo Member Posts: 2 Newcomer
in General

Hello all,

This is a question that will apply to next year's filing (in 2026). I was gifted a fairly large sum of money from my parents, greater than the $19,000 (for 2025) individual limit.

I have been trying to read up on the tax implications of this. I have found that taxes would apply to every dollar above the $19,000 but in stages (first $10,000 at a certain rate, next $10,000 at another rate, etc). I do not understand how the lifetime gift maximum applies (or even if it does apply). I also was reading and a few places seemed to indicate that the donor not the donee would pay the taxes (which didn't make sense to me).

Can anyone provide some clarity for me? I'm trying to get ahead of the tax implications.

Best Answer

  • JMSSGV
    JMSSGV Member Posts: 243
    Answer ✓

    Gift taxes are paid by the donor, not the recipient. There are no tax implications for you.

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