Annual gift to offspring

D

DannyBoyD

Registered User
Messages
3,172
I gift 3k to no. 1 offspring every year and I understand I can gift another 3k to their spouse; with no gift tax arising.

At present the a/c is in offspring's name; if I increase my annual gift to 6k does the a/c need to be in their joint names to satisfy any Revenue enquiry?
 
And they dont have to be married either I believe .... and then you can gift to a grandchild and your spouse can do the same.
 
T McGibney said:
I don't think anyone cares, to be brutally honest
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This surprises me.. The number of posts on this topic I have read over the years makes the rule sound like it is well policed, and I am myself particular about not exceeding this in a tax year for my own kids, surely this is open to abuse?
 
AndroidMan said:
The number of posts on this topic I have read over the years makes the rule sound like it is well policed, and I am myself particular about not exceeding this in a tax year for my own kids, surely this is open to abuse?
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One of the wiser, more knowledgeable and calmer heads around here noted some time ago that Revenue aren't one bit interested in someone giving one of their kids an occasional digout to handle the various vicissitudes that life throws at them but in intergenerational transfers of actual wealth.
 
T McGibney said:
Revenue aren't one bit interested in someone giving one of their kids an occasional digout to handle the various vicissitudes that life throws at them but in intergenerational transfers of actual wealth.
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Would regular annual €3K gifts to multiple donees perhaps fall into the latter category I wonder? Isn't it prudent to ensure that there's a clear "audit" trail for any/all gifts, especially those benefiting from tax relief/exemptions, just in case?
 
A gift could be a lump sum or any form of separated payments.

Regular payments could be anything. Employment as suggested.
Or they could be anything else.

For instance I have a circle K card and my daughter has a second card from my account. She buys all her fuel using the card.

I have an M50 toll tag. My daughter uses my car regularly over the toll bridge. The tag is linked to my bank account.

Up to recently I paid her VHI.

She regularly makes payments to my bank account to pay for all of these.

These regular payments could be seen by revenue as gifts to me.

I doubt that any of these payments will ever be of interest to revenue. I also doubt if revenue will ever question the benefit in kind (gift) my daughter enjoys when she uses my car.
 
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S class said:
the benefit in kind (gift) my daughter enjoys when she uses my car
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There is no such thing as benefit in kind outside an employment situation.

Otherwise you are correct that Revenue don't care about the normal routine expense covering and sharing that goes on in families.
 
DannyBoyD said:
As there is no exchange of benefit and no contract exists; the money is a gift.
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Yes it's a gift.

The point is that there are so many possible financial transactions between family members for all sorts of reasons, revenue don't have the resources to chase all these up.
 
Guys, this is a fairly straightforward issue.

It should not require intervention by moderators. Yet, it did and it wastes our time which could be better spent elsewhere (especially on a Sunday afternoon.)

Tommy has raised a valid point. If you feel he is being too careful, fine.

But it seems clear to me that a few simple steps can remove any doubt that Revenue would look at this. And it would be easier and quicker to take those steps than to start attacking each other.

I really do not want to intervene again. So don't reply to this thread unless you have something major to add to it.
 
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