How much tax do I owe on a monetary gift from my parents?
Each parent can give you 12,000 per year tax free. The form 709 is what your parents need to complete to report the gift. They have a life time annual gift limit of $345,800. A tax professional can help them complete the form, if they need assistance. Paying the tax is not your responsibility, but there are situations where the recipient can pay the tax. Visit www.irs.gov for more information.
