Category Archives: Gifts

Gifting Grandpa

Today TaxMama hears from Robert in Texas who has a generous grandfather. “My 99 year old grandfather who lives in California, sold his residence for $250,000. He wants to gift $100,000 to each of his two daughters and keep $50,000 for himself. Can he gift this amount without triggering tax problems?”

Rotary Scholarship

Today TaxMama hears from Leah in New York with great news. “I’ve won a Rotary Scholarship and will study for a Masters degree in Italy beginning this fall. Is any or all of the scholarship taxable? The scholarship covers tuition as well as a room & board stipend, airfare, and tuition for a language school. […]

Stock Gifts

Today TaxMama hears from Harry in Connecticut who asks, “If my wife and I give gifts to my grandson of stock worth $12,000 each, what is his cost basis when he sells the stock 10 or 20 years from now, if he has no clue what the cost was.” Dear Harry, This is an excellent […]

Scholarship Award

Today TaxMama hears from Betty who tells us. “I belong to a non profit organization that sponsors scholarships for student members. The board of this organization voted to give a “gift” (not scholarship) to two student members of the organization who have not achieved the 3.0 GPA required for scholarship awards. Can this gift be […]

Investment, Inheritance or?

Today TaxMama hears from Tony with this story, “My friend’s mother recently sold her father’s home (he is elderly). He gave her power of attorney to sign off on everything, and she kept the proceeds of the sale.* Would this house be considered inherited property, invested property, or anything else for my friend’s mother?”

Holiday Tips

Today TaxMama wants to talk about holiday spending. It’s so easy to go overboard. I mean, really easy. I just went into a store the other day and picked up an assortment of cute things, none of them very expensive – and was shocked to see $172 show up on the register. So, here are […]

Mom’s Home

Today TaxMama hears from Amy in Doylestown, Ohio, who says, “My mother wants to sign over her house and property to me as a gift. There are no liens on the house, no mortgages, etc. But what should I expect come next tax season; and also what should she expect?”

Sold Gifted Home

Today Bob from Greesnboro, NC tells this story “My parents bought our house in 1965 for $50,000. They put their home in my name in 1981, when its value was around $90,000. We’re selling it this year for $150,000. My question: Do I pay tax on the difference (profit) between the original purchase price of […]