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The NC gift tax was repealed for all gifts made after 1/1/2009.
However, there is still Federal gift tax on reportable gifts over $13K in one year per individual.
So do that means no gift tax apply for either party?
At the state level, yes
The person gifting the cash would need to file Federal Form 709 and either pay the gift tax or claim part of their lifetime exclusion of $1 million.
The top rate is 35%
So the person who receive the gift pay no taxes?
Correct, and also no reporting requirements, unless it was a foreign gift
Thank you so much! You have been very helpful!
You are most welcome