From time to time we transfer small amounts of money to our adult children to pay them back for items they purchased for our grandchildren. Instead of sending a check, we transfer within their linked bank accounts and try to remember to add a memo what it was for, but sometimes we forget. Are these small amounts to be considered part of the 'gifting exclusion' when when are wanting to give the adult child a full gift amount ($18,000) for 2024?
For example: transfer $100 to son's bank account to be applied to granddaughter's birthday. Or transfer $500 to daughter's account to pay for granddaughter's new saddle. Or transfer $1000 to daughter's account to repay for the Christmas gifts she bought on our behalf?
Our grandchildren's bank accounts are not linked to ours, so this is the simplest method for us to help repay. But when we want to gift our adult children the full $18K, do the small monetary gifts have to be included? Have not found a definitive answer on the web or IRS site.
For example: transfer $100 to son's bank account to be applied to granddaughter's birthday. Or transfer $500 to daughter's account to pay for granddaughter's new saddle. Or transfer $1000 to daughter's account to repay for the Christmas gifts she bought on our behalf?
Our grandchildren's bank accounts are not linked to ours, so this is the simplest method for us to help repay. But when we want to gift our adult children the full $18K, do the small monetary gifts have to be included? Have not found a definitive answer on the web or IRS site.
Statistics: Posted by HRG — Sun Dec 22, 2024 11:40 am — Replies 5 — Views 106