Skip to main content

If I give a gift of money, how do I deduct it from my taxes?

Provo, UT |

I give my children money each eac (under $12,000). How does that benefit me on my taxes?

Attorney Answers 3


  1. It doesn't help with income taxes. It's a personal expense and not deductible. It saves extate taxes though. The small gifts are exempt ftom gift taxes, but they get the assets out of your estate,
    FEEDBACK: Both AVVO and other readers are interested in your feedback on the quality of the answers. Plz check the “thumbs up” symbol if you find an answer helpful or the “thumbs down” symbol if not.
    DISCLAIMER–This answer is for informational purposes only under the AVVO system, its terms and conditions. It is not intended as specific legal advice regarding your question. The answer could be different if all the facts were known. This answer does not establish an attorney client relationship. I am admitted only in California.
    (Bryant) Keith Martin
    sbbizlaw.com


  2. It helps for estate tax purposes but not income tax. You cannot deduct the gifts from your income tax return. It helps by getting that money out of your taxable estate and reducing the amount that might be taxed thereby. The fact that it is under $12K means you do not have to file a gift tax return.

    If you liked this answer, click on the thumbs up! Thanks. Eliz. C. A. Johnson Post Office Box 8 Danville, California 94526-0008 Legal disclaimer: I do not practice law in any state but California. As such, any responses to posted inquiries, such as the one above, are limited to a general understanding of law in California and not to any other jurisdiction. In addition, no response to any posted inquiry should be deemed to constitute legal advice, nor to constitute the existence of an attorney/client or other contractual or fiduciary relationship, inasmuch as legal advice can only be provided in circumstances in which the attorney is able to ask questions of the person seeking legal advice and to thus gather appropriate information.


  3. It helps for estate tax purposes but not income tax. You cannot deduct the gifts from your income tax return. It helps by getting that money out of your taxable estate and reducing the amount that might be taxed thereby. The fact that it is under $12K means you do not have to file a gift tax return.

    If you liked this answer, click on the thumbs up! Thanks. Eliz. C. A. Johnson Post Office Box 8 Danville, California 94526-0008 Legal disclaimer: I do not practice law in any state but California. As such, any responses to posted inquiries, such as the one above, are limited to a general understanding of law in California and not to any other jurisdiction. In addition, no response to any posted inquiry should be deemed to constitute legal advice, nor to constitute the existence of an attorney/client or other contractual or fiduciary relationship, inasmuch as legal advice can only be provided in circumstances in which the attorney is able to ask questions of the person seeking legal advice and to thus gather appropriate information.

Wills and estates topics

Top tips from attorneys

What others are asking

Can't find what you're looking for?

Post a free question on our public forum.

Ask a Question

- or -

Search for lawyers by reviews and ratings.

Find a Lawyer

Browse all legal topics