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Lane
Lane, JD,CFP, MBA, CRPS
Category: Social Security
Satisfied Customers: 10097
Experience:  Law Degree, specialization in Tax Law and Corporate Law, CFP and MBA, Providing Financial, Social Security & Tax advice since 1986
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Hi. I receive SSD and do not file for taxes due to the nature

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Hi. I receive SSD and do not file for taxes due to the nature (and amount) of my income. I receive no additional benifits such as Food Assistance or Subsidized Housing. Q: if my elderly father wants to make me a gift of the house I now rent from him as well as $100, will this somehow compromise my SSD benefit I've been receiving for 10 years?

Lane :

Hi, I can help you with this!

Customer:

Yes, and thank you.

Lane :

No gifts and inheritances,m by law, are excluded from income ... so not only would it not be considered earned income (which COULD affect you taxes and SSDI) it is completely excluded from income, altogether.

Lane :

Here's the tax law on this:

Lane :
(a) General rule.--Gross income does not include the value of property acquired by gift, bequest, devise, or inheritance.


26 U.S.C.A. § 102 (West)

Lane :

Also, the lifetime exclusion on gifts and inheritances from GIFT tax is $5,250,000, so there's no gift tax either

Customer:

I assume taxes would apply to the house as well as the financial gift. The only concern is a compromise to my monthly benefit as it is. Am I correct that the former would apply, but that the prior would remain unaffected?

Customer:

I read the rest of your answer

Lane :

So, unless he has given away more than $5 million in his lifetime NO neither is included

Customer:

I beleive I understand that the benefit remains intact?

Lane :

Yes, completely

Lane :

because those items are not considered income

Customer:

Thank you very much. How may I tip you for this service?

Lane :

our positive rating is thanks enough ... you're very welcome

Customer:

Have a nice day.

Lane :

That's how we get credit for the work is a rating of 3 or better

Lane :

You too!

Lane and other Social Security Specialists are ready to help you

 

 

 

Thanks Joseph!

 

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Lane

 

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