U.S. tax implication if I transfer stock to parents

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okinawafl
Posts: 97
Joined: Sun Jul 11, 2021 12:38 pm

U.S. tax implication if I transfer stock to parents

Post by okinawafl »

I am u.s. tax resident (TN visa, stay in U.S. more than two years). I have a U.S. bank brokerage account and I want to transfer stock (in-kind) to my parents' brokerage account as a gift.

May I know:
1. For gift tax purpose, would the cost of stock when I purchase or FMV of stock on the date of transfer would be used?
2. do I need to pay any capital gain on the in-kind stock I transfer to them?
3. how would I report this transfer in my 1040 tax return? Am I expect some types of tax slips from my u.s. bank?


Thanks a lot
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