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Thank you for your question.
True gifts are not considered reportable income by either the IRS or new jersey.
However, the gift giver (not the recipient), may have to file a gift tax return. No taxes are due to the donor unless the total of all gifts exceed one million in life time gifts.
also a person can gift up to 12,000 without having to file the gift tax return.
Thaks for getting back to me.
let me clarify NJ's postion. NJ follows the federal, except that NJ will not assess gift taxes unless the gift is made with the expectation of death. So only gifts made within three years of death are considered, regardless of value.
NJ only requires that a person making donations (gifts) in excess of 12,000 to file the federal gift tax return.