How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Lev Your Own Question
Lev
Lev, Tax Advisor
Category: Tax
Satisfied Customers: 29504
Experience:  Taxes, Immigration, Labor Relations
870116
Type Your Tax Question Here...
Lev is online now
A new question is answered every 9 seconds

I am on my fathers banking accounts and now with his recent

Resolved Question:

I am on my fathers banking accounts and now with his recent illness I am wondering if I can move the money out of his and mine account to a seperate account that has my name only on it without any issues coming up at tax time. I guess what I'm asking since the money is already in his and mine name does this in any way show as taxable income if it is deposited in only my account? Thank you for your time on this matter.
Submitted: 5 years ago.
Category: Tax
Expert:  Lev replied 5 years ago.

LEV :

Hi and welcome to Just Answer!
If your father added your name to his account - that doesn't mean you became an owner of funds - thus is the money are still considered as owned by your father - there is nothing changed.
If the money are moved to your account - the question would be - if that is a gift from your father to you? or you just hold funds that actually owned by your father?
If the ownership or fund is not changed – there is nothing to worry.
If funds are gifted to you - See IRS publication page 34 - http://www.irs.gov/pub/irs-pdf/p525.pdf - Generally, property you receive as a gift, bequest, or inheritance is not included in your income.
There is no limit on the value you may receive.
You will not owe any federal or state income taxes on that gift - only tax liability would be based on the interest credited on the account.


However the donor (the person who makes a gift) may be required to file a gift tax return if the value of the gift is above $13,000 per person per year. There will not be any gift taxes unless the lifetime limit of $5,000,000 is reached.
Let me know if you need any help.

Lev and other Tax Specialists are ready to help you