Jun
28
About Financing the money but with no profit?
By
Jaminder K asked:
I want to ask if i am giving money to 1 person 20000 but i dont want any profit just money alone i.e 20000 is there any tax on that and how much both of us will be paying
I want to ask if i am giving money to 1 person 20000 but i dont want any profit just money alone i.e 20000 is there any tax on that and how much both of us will be paying
1 Comments
June 28th, 2009 at 2:07 pm
It depends upon where you live, as to which tax laws apply. Here in the U.S.A. if you “give” someone money, the IRS expects YOU to withhold 40% as a “gift tax” to be paid to the IRS.
It may to your benefit to consult an accountant, or tax professional before committing yourself to this gift.
Good Luck.