I am a U.S citizen. My parents who are not U.S. citizens have an offshore foreign company. If they send me a cash gift through their corporation:

  1. Do I pay tax?
  2. What is the max amount I can receive before I file form 3520?


  • Hopefully this has not already happened - if so, I think you're fucked. Best is just to send it back as if an accident. – Fattie May 8 '18 at 22:11

I'm fairly sure a "corporation" can't send you a gift:

there is no such concept.

(The fact that "your parents" are principals in the corporation means nothing.)

Consider, I do a lot of jobs for Company X, one of my bigger clients. (No, really - they're called "Company X"! :) )

Say they wired me 50 grand from their bank account.

And then they said - "Oh. That was a gift."

It's totally nonsensical. It would just be a payment I'd pay tax on.

| improve this answer | |
  • This doesn't seem to be grounded in facts. Companies can make charitable contributions. – Eric May 8 '18 at 23:15
  • There is utterly no connection, at all, to a "charitable contribution" here. The downvote is very confused. – Fattie May 9 '18 at 1:13
  • I didn't downvote and I'm not saying this gift is a charitable contribution. However you seem to imply companies cannot give gifts, but that is what a charitable contribution is. – Eric May 9 '18 at 1:15
  • @eric, "gifts" have utterly no connection, in any way, to "charitable contributions" – Fattie May 9 '18 at 18:05

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