Summary
In Illinois, gifts between siblings are not subject to state gift tax. However, if the gift exceeds the annual exclusion amount of $15,000, the giver may need to file a federal gift tax return. The federal gift tax rate ranges from 18% to 40%. Consult a tax professional for detailed advice.Full Conversation
My sister wants to give me money out of dead fathers safe deposit box with no will and we want to know if we have to pay taxes
What is the total amount of money in the safe deposit box?
*
What is your location, ****? The tax laws vary from state to state.
Illinois
In Illinois, inheritance isn't subject to state tax. However, any income generated from the inheritance (like interest or dividends) may be taxable. Please consult a tax professional for detailed advice.
It is a gift not inheritance
What is the relationship between the person giving the gift and the recipient? In Illinois, gifts are generally not taxable for the recipient.
Siblings
In Illinois, gifts between siblings are not subject to gift tax unless they exceed the annual exclusion amount ($*,* in *). Please consult a tax professional for detailed advice.
What is tax amount for * gift
In Illinois, there's no gift tax for the recipient. If the gift exceeds $*,* per year from one person, the giver may need to file a gift tax return.
How much tax for giver
The giver may be subject to federal gift tax if the gift exceeds the annual exclusion of $*,*. For *, the rate ranges from *% to *%. Consult a tax professional for specifics.
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