Donor's Tax Flashcards
1
Q
are taxes on a donation or gift and is imposed on the gratuitous transfer of property between 2 or more persons who are living at the time of the transfer
A
donor’s taxes
2
Q
an act of liberality whereby a person disposes gratuitously of a thing or right in favor of another, who accepts it
A
donation
3
Q
what is the tax rate?
A
6% of the total gifts made during the calendar year
3
Q
what are the requisites of a valid donation?
A
- capacity of the donor to make the donation
- donative intent
- acceptance of the gift by the donee
- property must be clearly identified and legally owned by the donor
- donation must be in writing in case
3
Q
what donations are exempt from donor’s tax?
A
- gifts made by a resident
- gifts made by a nonresident
4
Q
who are required to file donor’s tax?
A
any person who transfers or causes to transfer property by gift
5
Q
when to file?
A
30 days after the date the donation is made
