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A "gift" is NEVER taxable, unless it can be considered compensation for services (as when an employer gives a "bonus"), or it can be considered a "prize".
Compensation for services is always taxable.
A "prize" is ALWAYS taxable. When Oprah Winfrey gave members of her audience automobiles, this was considered a "prize", not a "gift", as was the subsequent offer to pay their income taxes. However, that determination...of it it is a gift or something else....as I have seen by many questions here and elsewhere... is frequently, if not virtually always, wrongly answered by the recipent. In fact, both the Oprah car and the subsequent offer to pay the tax were wrongly defined by the "expert" staff and audience. (And no, the audience didn't have any idea that Oprah was going to give them each a car...etc.,)
A gift (or gifts) totaling more than $10,000 (indexed for inflation, $12,000 in 2007) to the same person in the same year MAY create a "gift tax" liability for the giver. It will certainly require the filing of an "Estate and Gift Tax Return" by the giver. But no actual tax liability is incurred until the lifetime total of all gifts exceeds the threshold amount, currently $2,000,000.
The Gift tax is not restricted to transactions between parents and children.
Although "a single taxpayer with three children can transfer a total of $36,000 to them every year free of federal gift taxes", a married couple could transfer twice that amount, since both the husband and the wife can separately give $12,000 each to each of their three children!
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Is a inheritance of 10000 taxable?
10000? this is just a number?? if you mean 10000 in US dollars or British Sterling then NO, in the UK anything under £325,000 is NOT taxable.
Is taxable income the full amount before tax is deducted?
Taxable income is the total income after deducting all deduction under the section 80(c) to 80(u). The tax liability is calculated on the total taxable income.
Is seller's concession taxable income?
Yes, a seller's concession stand is taxable income. Depending on the state that tax rate would vary. Charities are refunded tax payments if filed under 'Unrelated Business Taxable Income '. This is only if all workers are volunteers.
Is Welfare income classified as ordinary income?
No. Under the "General Welfare Doctrine", any government welfare payments are not included in taxable income.
Is money earned in Texas taxable under Arizona State income tax?
Yes.
Is social socurity taxable?
In order to determine when social security is taxable, you first need to know your combined income. This is the adjusted gross income plus non-taxable interest plus half of your Social Security benefit, and as long as long is it is under $25,000, then it is not taxable.
Can you be taxed for withdrawing large amounts from a trust?
Money pulled out of a trust is considered income. All income is taxable under the laws of the US and the states.
Is imputed income taxable?
Imputed income is not actual income, but is money that you have because you provide certain services for yourself instead of paying others for them, such as owning a house instead of renting. It is very hard to determine the value of imputed income and is only very rarely taxable, and only under certain circumstances.
What are the accounting entries for expenses and incomes in double entry systems?
income with non taxable should put in under which account
How do I reduce my taxable income?
There is really no way around paying taxes on income that you earned. The only way is if you do not make enough, but this is a very low number, normally under $500.
What is the federal income tax rate for an architect?
In the United States, taxes are not levied according to occupation. An architect's marginal income tax rate depends on his total taxable income and the form under which he is conducting his business.
What does taxlife mean on a pay stub?
I'm truly not exactly sure, but I think it's for life insurance. Maybe. Life insurance provided by an employer of more than 50K is considered a taxable benefit. Therefore the value of it is made into taxable income (under a complex formula) and this would be either the amount of income imputed or the tax on that income.
