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 emc011075 Your Own Question
emc011075, Tax adviser
Category: Tax
Satisfied Customers: 2196
Experience:  IRS licensed Enrolled Agent and tax instructor
Type Your Tax Question Here...
emc011075 is online now
A new question is answered every 9 seconds

I'm a currently living in the United States under a H1- visa

Customer Question

I'm a currently living in the United States under a H1-B visa (I'm from Argentina). The company I work for is currently in the process of renewing the visa as well as starting the paperwork for my green card.
My dad (also from Argentina) wants to make a gift to me in the form of money. The idea would be for him to transfer me money from his bank account to mine (mine is actually a joint account with my wife)
My dad's account is under a US Bank (NY Mellon) and I know he files a W8-BEN every 3 years.
The questions I have are the following:
1) How much money will my dad be able to gift me?
2) Will I have to pay taxes for it?
3) Will I have to file some sort of tax form (even if there is no tax to pay for this)
I've read some information about this matter but I'm not able to determine wether my dad's gift will be treated as foreign (cause he's not a US resident) or as local (cause the bank account is already under us soil)
Please let me know if you need any extra information from me to be able to determine this.
Submitted: 3 months ago.
Category: Tax
Expert:  emc011075 replied 3 months ago.

Hi. My name is ***** ***** I will be happy to help you.

There's no limit how much you can receive in gifts and the receiver of a gift never pay gift tax. But if the gift is from a foreign person (non US citizen or resident) and is more than 100K, you will need to file form 3520 to report it. 3520 is not income tax form, is for informational form (no tax will be due by filing 3520).

It doesn't mater that your father keep a US bank account, it will still be treated as a gift from a foreign person. It is the person itself, not location of the funds that determine if the gift is foreign or domestic.

Expert:  emc011075 replied 3 months ago.

I see you read my respond. Do you have any questions? Is there anything else I can help you with today?

Customer: replied 3 months ago.
Disregard that, do not call.
Let me think about your response.
Expert:  emc011075 replied 3 months ago.

Ok. And if this answered your question, please take a moment to rate my response so that I may receive credit for assisting you today. You find the rating bar on the top of the page – 5 stars. However, if you need clarification, or want to discuss this issue further, let me know. Thank you.