Do I have to pay tax(es) on "money transfer"?

Does IRS consider "money transfer" as a source of taxable income? Especially if the money was from a foreign person who sent to a U.S citizen with the purpose of "investment" or to "open business" through an international bank such as Citibank or HSBC.

Silver Spring, MD -

Attorney Answers (3)

Oscar Javier Ornelas

Oscar Javier Ornelas

Tax Lawyer - El Paso, TX
Answered

No. Unlike other countries, the US does not tax bank deposits or money transfers. Note that certain international transfers of currency may be subject to financial reporting (but not taxes). Specifically, the transfer of $10,000 or more in cash (regardless of currency), checks and certain other instruments must be reported to the US Treasury or declared to US Customs if you are carrying them on your person while crossing into or out of the US. These rules do not apply to wire transfers between banks or the delivery of checks or currency through common carriers (e.g. UPS, FedEx) or the US postal system.

Any comments posted on this site are for your general information and are not a substitute for professional legal representation. Please consult an attorney to adequately address your legal issue(s).

Oscar Javier Ornelas
915-600-7286
oscar@ojotax.com

Anything contained in this response is for informational purposes only and neither the author nor The Ornelas Firm... more
Luca Cristiano Maria Melchionna

Luca Cristiano Maria Melchionna

Business Attorney - New York, NY
Answered

No. Best.

This reply is offered for educational purpose only. You should seek the advice of an attorney. The response given... more
Thomas Gordon Rice

Thomas Gordon Rice

Tax Lawyer - Albuquerque, NM
Answered

No.

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