Max. Money to take with me

[Jojo92122 1,925]

What If I wired transfer to one of my relatives in the states (ex. $20,000), will he pay more taxes for this money? we he or me get in troubles?

as soon as I arrive to States, I'll put the money in my account.

Any problems with that?

Probably not.

The transaction will be reported to the IRS because it is over $10,000 and it's coming from Egypt which has ties to terrorism. There will be no taxes on this money because the US has a policy favoring people bringing money into the US to spend.

As long as the money came from legitimate sources, you will be fine.

The US is concern about terrorists moving money around and terrorism. That is why all large transactions are reported to the US government.

[Nich-Nick 3,355]

The US government just wants a paper trail of large amounts of money coming into the US. It's part of the banking section of the Patriot Act after 911. You just tell them what you're bringing in---no customs, no tax on it. If you wire it, the banks have to report it. If your uncle puts it in his bank, his bank reports it. If uncle transfers it to you later, it gets reported. If the banks don't report, they get in trouble because they didn't follow banking laws. You and uncle don't get in trouble like you fear unless you later spend it on terrorist activities. Then they have a record to trace it back to you. A lot of people like xe.com for transfering money. They have some of the most reasonable fees. WesternUnion will be expensive. I wouldn't carry a lot of cash. Too risky because it could get stolen.

Edited July 8, 2011 by Nich-Nick

[trevis 0]

Hello,

I'm also interested in this question.

My wife is getting immigrant visa and we want to bring proceeds from selling her house to buy a place in US.

She does not have US bank account; amount is also considerably big.

If she wires it to my account, how would I need to report it, if this at all needed.

Will they start audit on me when they see the money to show up on account?

Will I have to report on form 3250 as a gift?

>>> You just tell them what you're bringing in---no customs, no tax on it.

At what point this question will arise, tax forms don't have any such questions.

Will they just show up and ask where money came from?

Thanks a lot.

[Jojo92122 1,925]

Hello,

I'm also interested in this question.

My wife is getting immigrant visa and we want to bring proceeds from selling her house to buy a place in US.

She does not have US bank account; amount is also considerably big.

If she wires it to my account, how would I need to report it, if this at all needed.

Will they start audit on me when they see the money to show up on account?

Will I have to report on form 3250 as a gift?

>>> You just tell them what you're bringing in---no customs, no tax on it.

At what point this question will arise, tax forms don't have any such questions.

Will they just show up and ask where money came from?

Thanks a lot.

Have your wife arrange a wire transfer to an account that she will open when she gets to the US.

If she wires it to your account, US banking laws requires the bank to report transactions over $10,000. You do not need to report it.

The IRS will not audit you on the money when it shows up in your account.

You do not report it as a gift. Gifts between a husband and a wife does not need to be reported. In addition, is your wife intending on gifting this money to you or is she intending to use to buy a house for you and her to live in. Will she consider it her money? Simply transferring the money to your account does not automatically make it a gift. A gift would mean that the money is all yours and no longer belong to her.

[Krikit 1,166]

Hello,

I'm also interested in this question.

My wife is getting immigrant visa and we want to bring proceeds from selling her house to buy a place in US.

She does not have US bank account; amount is also considerably big.

If she wires it to my account, how would I need to report it, if this at all needed.

Will they start audit on me when they see the money to show up on account?

Will I have to report on form 3250 as a gift?

>>> You just tell them what you're bringing in---no customs, no tax on it.

At what point this question will arise, tax forms don't have any such questions.

Will they just show up and ask where money came from?

Thanks a lot.

You don't need to worry about any repercussions from her wiring the money, or any reporting requirements. However, if you are using those funds for a downpayment and taking a mortgage out on the remainder she will need to gift it to you. If those are your plans I would be happy to answer any further questions.

[Messybrownhair 251]

I brought over 10k when I arrived last Feb.. I did declare it and said it was for my wedding and for grad school. No problems. They did not even ask to show proof, although I was carrying my dress so that might have been enough proof But then again we only went a little over 10k, like just by a couple hundred lol. My mom has done it too before.

Edited July 12, 2011 by Messybrownhair

[trevis 0]

Have your wife arrange a wire transfer to an account that she will open when she gets to the US.

If she wires it to your account, US banking laws requires the bank to report transactions over $10,000. You do not need to report it.

The IRS will not audit you on the money when it shows up in your account.

You do not report it as a gift. Gifts between a husband and a wife does not need to be reported. In addition, is your wife intending on gifting this money to you or is she intending to use to buy a house for you and her to live in. Will she consider it her money? Simply transferring the money to your account does not automatically make it a gift. A gift would mean that the money is all yours and no longer belong to her.

I don't get it. How would she arrange a wire to an account that she will open in the future. Is it possible to arrange a wire transfer to non-existent account?

I was considering my account just as the destination because it exists. Yes we would use this money to buy a house to live in.

Lets say, she would consider it her money, I have mine, we combine both and buy a house.

Gifting question only came as way to report (I'm clueless about this).

My problem is mostly this. Money appear on my account, I declare some income, which is less then appeared at the account, will this raise questions, proof or whatever, will they consider that money as an income?

Thanks

[trevis 0]

You don't need to worry about any repercussions from her wiring the money, or any reporting requirements. However, if you are using those funds for a downpayment and taking a mortgage out on the remainder she will need to gift it to you. If those are your plans I would be happy to answer any further questions.

So, if I understood correctly, if she wires the money (lets say around 600k) to my account, nobody will be after me for this?

Yes, later we would use this money for house.

Basically, I would like to know direct logistics with the initial data:

She is not a US person yet, she sold her (written in her name) house and has some savings before becoming LPR (just getting immigrant visa).

She does not have US account, but I have.

Now she wants transfer this money to the US when we move to jump start the life.

So what are the steps are:

1. Transfer money from acc A and acc B?

2. Me file this and that form on next tax period or not file any form?

3. She file this and that form on next tax period or not file any form?

4. Is this considered my income, if she wires to my account?

5. Will it trigger any problem or need any proof of whatever.

I just want to get any sense of what to expect and avoid any legal troubles that might be, if any.

Thanks for your time replying. I appreciate it.

[Nich-Nick 3,355]

So, if I understood correctly, if she wires the money (lets say around 600k) to my account, nobody will be after me for this?

Yes, later we would use this money for house.

Basically, I would like to know direct logistics with the initial data:

She is not a US person yet, she sold her (written in her name) house and has some savings before becoming LPR (just getting immigrant visa).

She does not have US account, but I have.

Now she wants transfer this money to the US when we move to jump start the life.

So what are the steps are:

1. Transfer money from acc A and acc B?

2. Me file this and that form on next tax period or not file any form?

3. She file this and that form on next tax period or not file any form?

4. Is this considered my income, if she wires to my account?

5. Will it trigger any problem or need any proof of whatever.

I just want to get any sense of what to expect and avoid any legal troubles that might be, if any.

Thanks for your time replying. I appreciate it.

I think because she is not your wife nor a resident, then the IRS implications are filing to report it as a gift received from a foreign person. http://www.irs.gov/businesses/article/0,,id=200722,00.html

If you are a U.S. person who received foreign gifts of money or other property, you may need to report these gifts on Form 3520, Annual Return to Report Transactions with Foreign Trusts and Receipt of Certain Foreign Gifts.

Form 3520 is an information return, not a tax return, because foreign gifts are not subject to income tax.

However, there are significant penalties for failure to file Form 3520 when it is required.

It's a long complicated form, but only Part IV applies to you so most of it will be blank.

Your bank will do any reporting of receiving the money to comply with any obligations they are under because of federal banking laws. So that's basically their job, not yours. If they need information from you to help them do their task, I'm sure they will ask. To get the best information, make an appointment with an officer of your bank and go ask him all the questions you have. Don't just walk in and ask a teller at the counter. Get a sit-down meeting in an office.

Edited July 15, 2011 by Nich-Nick

[trevis 0]

I think because she is not your wife nor a resident, then the IRS implications are filing to report it as a gift received from a foreign person. http://www.irs.gov/businesses/article/0,,id=200722,00.html

If you are a U.S. person who received foreign gifts of money or other property, you may need to report these gifts on Form 3520, Annual Return to Report Transactions with Foreign Trusts and Receipt of Certain Foreign Gifts.

Form 3520 is an information return, not a tax return, because foreign gifts are not subject to income tax.

However, there are significant penalties for failure to file Form 3520 when it is required.

It's a long complicated form, but only Part IV applies to you so most of it will be blank.

Your bank will do any reporting of receiving the money to comply with any obligations they are under because of federal banking laws. So that's basically their job, not yours. If they need information from you to help them do their task, I'm sure they will ask. To get the best information, make an appointment with an officer of your bank and go ask him all the questions you have. Don't just walk in and ask a teller at the counter. Get a sit-down meeting in an office.

She is my wife, but not a resident yet.

Thanks

[Krikit 1,166]

So, if I understood correctly, if she wires the money (lets say around 600k) to my account, nobody will be after me for this?

- Correct

1. Transfer money from acc A and acc B?

- Yes

2. Me file this and that form on next tax period or not file any form?

- No forms to file. You'll add her to your acccount, of course, and make it joint.

3. She file this and that form on next tax period or not file any form?

- No form to file.

4. Is this considered my income, if she wires to my account?

- No

5. Will it trigger any problem or need any proof of whatever.

- No. All the reporting is done electronically so there is nothing further you need do. You can always contact an accountant or check out www.irs.gov to put your fears to rest.

[trevis 0]

So, if I understood correctly, if she wires the money (lets say around 600k) to my account, nobody will be after me for this?

- Correct

1. Transfer money from acc A and acc B?

- Yes

2. Me file this and that form on next tax period or not file any form?

- No forms to file. You'll add her to your acccount, of course, and make it joint.

3. She file this and that form on next tax period or not file any form?

- No form to file.

4. Is this considered my income, if she wires to my account?

- No

5. Will it trigger any problem or need any proof of whatever.

- No. All the reporting is done electronically so there is nothing further you need do. You can always contact an accountant or check out www.irs.gov to put your fears to rest.

Max,

Thank you for clean brief answers.

It looks very simple, if this is indeed, how you described.

But would like to bother with one more question.

Are you speaking from your own experience or can you point to any parts of law on this topic?

Thank you so much.

[trevis 0]

Max,

Thank you for clean brief answers.

It looks very simple, if this is indeed, how you described.

But would like to bother with one more question.

Are you speaking from your own experience or can you point to any parts of law on this topic?

Thank you so much.

Sorry, I meant to say:

Krikit

In address of the previous post.