Receiving large foreign gifts

[Daminal531]

I am receiving a large ~$500K USD gift as cash wire transfers to my US bank from my foreigner parents (nonresident aliens).

I am hoping to get some guidance about how to file form 3520. Things I have tried:
1. called IRS directly but unfortunately information return isn't income tax and they can't support it.
2. called my tax advisers thru my income tax software and couldn't get any answers for the same reason since it's not income tax.
3. Googled but found conflicting messages


I'm married and filing joint returns for income tax. But the $500K gift is intended to exclusively to me and to my separate bank account (e.g., not joint account). Yet my spouse will be benefited from this gift down the road since we are married and I plan to spend / invest the money on the family where it fits.

I hope to get guidance on following questions:

1. Should I check box 1i to make this 3520 form as filed jointly and provide my spouse SSN? I can see the argument goes both ways:
- the gift is wired to my separate account and intended to be for me exclusively.
- I plan to invest the money on the family wherever it fits down the road.

2. What's the implication of filing 3520 jointly or separately. Why does it matter at all? I'm afraid of making a mistake.

3. For line 54b - Description of the property received. Should I be clear that this is a wire transfer to the US e.g., "Cash gift wire to the U.S. from foreign parents"? Or should I just say something simple like "Cash gift from foreign parents"? . ---- I'm guessing explaining it's a wire shows that I'm not hiding anything but I could also just be overly specific unnecessarily. Advice?


Thank you so much!

[toddthebod]

1. You aren't both beneficiaries of a foreign trust. It's a gift to you. Don't check the box.
2. N/A
3. "Cash"

[single2019]

I am receiving a large ~$500K USD gift as cash wire transfers to my US bank from my foreigner parents (nonresident aliens).

I am hoping to get some guidance about how to file form 3520. Things I have tried:
1. called IRS directly but unfortunately information return isn't income tax and they can't support it.
2. called my tax advisers thru my income tax software and couldn't get any answers for the same reason since it's not income tax.
3. Googled but found conflicting messages


I'm married and filing joint returns for income tax. But the $500K gift is intended to exclusively to me and to my separate bank account (e.g., not joint account). Yet my spouse will be benefited from this gift down the road since we are married and I plan to spend / invest the money on the family where it fits.

I hope to get guidance on following questions:

1. Should I check box 1i to make this 3520 form as filed jointly and provide my spouse SSN? I can see the argument goes both ways:
- the gift is wired to my separate account and intended to be for me exclusively.
- I plan to invest the money on the family wherever it fits down the road.

2. What's the implication of filing 3520 jointly or separately. Why does it matter at all? I'm afraid of making a mistake.

3. For line 54b - Description of the property received. Should I be clear that this is a wire transfer to the US e.g., "Cash gift wire to the U.S. from foreign parents"? Or should I just say something simple like "Cash gift from foreign parents"? . ---- I'm guessing explaining it's a wire shows that I'm not hiding anything but I could also just be overly specific unnecessarily. Advice?


Thank you so much!

Do not file as joint. Keep this money in an individual account. Do not commingle with other family finances. Feel free to spend on family from this account, but when you pay taxes on future gains, take the taxes out of this separate account.
Future is not known. See my user name.