You may be right, but everything I've seen leads me to believe the following:
One may purchase an unlimited amount of I-Bonds for purposes of gifting in the future, but cannot actually gift / deliver an unlimited amount of I-Bonds in any given year.1. A donor can gift an unlimited amount of I bonds to a recipient during a given year;
I don't believe this is correct. My (limited) understanding is that the principal amount of any I-bond purchase that is subsequently acquired by /delivered to a recipient in any given year counts against the $10,000 acquisition limit for that year.2, A recipient can receive unlimited amounts of I bonds gifted from a donor during a given year;
I think this interpretation is not correct (see above).3. The limitation of acquiring $ 10,000 of I bonds during the current year only applies to recipients purchasing I bonds for their accounts using their funds. The recipient's $ 10,000 limitation is further reduced to the extent gifted I bonds are received by him during a current year before he makes purchases.
I don't really follow this but I imagine the negation of the aforementioned tactic invalidates this approach as well.Furthermore, unlimited gifts of I bonds between husband and wife (for example, husband POD wife) are also allowed because the husband donor is held to be buying I bonds using the husband's funds, and does not represent a purchase of I bonds by the wife. For tax purposes, the husband's gift is reportable but is eliminated due to the spousal exception for gifts. The fact that the husband and wife are related is irrelevant in determining whether a valid gift is made because it is deemed that the husband can gift or not gift his wife his assets. Unless a Court finds that the husband does not have the legal capacity to make a gift to his wife due to a mental health disability, the husband's gift is valid.
Statistics: Posted by Darth Xanadu — Fri Dec 15, 2023 11:47 pm — Replies 6224 — Views 822443