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Because this gift is over $100,000 you will need to file form 3520 with the IRS
This simply declares your gift, but no tax will be due on it
You will not put any information about the gift down with your tax return, you will just file form 3520
So what you're saying is that they just can transfer the money to my bank account and this money is not taxable? Should I file that form with the IRS during my annual tax return, or should I do it as soon as the money is transferred? Also, are there any special steps to be taken if I'm using this money for a house down payment?
Yes, you can transfer the money directly to your bank account, and it's not taxable at all.
No, you will not do anything on your annual tax return
File form 3520 at the same time as your tax return, but file with the address listed on the instructions
There's nothing special to do if the money is a down payment on a house
Ok, got it Megan. Thanks a lot
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Thanks so much!