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  • Tax Question

    If a parent gives me a money as a "Thank you"/Christmas Gift, do I add that to their 2022 tax statement?

  • #2
    Tom Copeland always said yes. If they give it to you in 2022 you claim it on your 2022 taxes and you put it on their receipt. If you got it in January then it goes on next year's.
    Last edited by Alwaysgreener; 3 weeks ago.

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    • #3
      Originally posted by Alwaysgreener View Post
      Tom Copeland always said yes. If they give it to you in 2022 you claim it on your 2022 taxes and you put it on their receipt. If you got it in January then it goes on next year's.
      That's my understanding, too.

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      • #4
        You claim it and add it to their statement even if it’s a gift?

        I am curious because if my friend/family member gives me $500 for a gift, I’m not telling Uncle Sam
        Last edited by GirlMomma; 3 weeks ago.

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        • GirlMomma
          GirlMomma commented
          Editing a comment
          flyingjewels if the parent claims it, shame on them! I don’t consider it a gift at that point. 😂🤷‍♀️

        • flyingjewels
          flyingjewels commented
          Editing a comment
          GirlMomma

          I know right! But it’s a write off is why you can do it, like a charity. So when you make a lot of money and you need the write offs so you don’t have to pay more taxes, people do it.

          I think anyway. Don’t quote me. Been a while since I did any accounting work.

        • GirlMomma
          GirlMomma commented
          Editing a comment
          That sounds about right. It makes sense now! Thank you!

      • #5
        Here is a blog post about this topic

        https://www.tomcopelandblog.com/blog...parent%20gifts

        "If you get a gift card from a friend then the gift card is not income because there is no business relationship. If you get a gift card from a child care parent this is more complicated.

        If a child care parent gives you a gift card that is not payment for your services, this is a gift that is not income. So, if a parent says, "Happy Birthday!" or "Merry Christmas!" and gives you a gift card, this is not income to you.

        However, if a parent says, "Thanks for the work you do for our family, here's a gift card," or "Here's a bonus" this is taxable income because it is extra payment for your services. I would treat the giving of gift cards around the holidays as non taxable gifts, even if the parent makes a comment thanking you for your services."

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