Dear Cheapskate: I am retired and my son wants to give me money to buy a house as a gift. Will I be taxed on the money? If so, are there ways to avoid or reduce the amount I will be taxed?—Lucy
Dear Lucy: Gifts between individuals are tax-free for the recipient. That means you, as the fortunate recipient of your son’s generosity, don’t have to worry about paying taxes on this gift. The responsibility for any potential gift tax falls squarely on the giver—your son in this case. Now, let’s unpack the details.
