cash transaction via a gift

[RonR]

I have 2 aunts that gave me $13,000 each. i have accounts at 2 banks
and i cashed one check at one bank and one at the second bank.

I do not want to keep a large amount of money in my checking so I

had the bank give me cash. i put the money in my safe deposit box at the bank.


i know that the bank will do a CTR.

do I need to get something from my aunts to prove it was a gift??

it really was a gift.

[irmanator]

Your not getting any interest on that, you should lookinto money market acct or something.

I assume that you will need to prove it is a gift. Someone smarter than me will probably be around soon to confirm or correct me.

[buildmybudget]

The IRS website(Frequently Asked Questions on Gift Taxes)

What other information do I need to include with the return?
Refer to Form 709 (PDF), 709 Instructions and Publication 950. Among other items listed:

1. Copies of appraisals.
2. Copies of relevant documents regarding the transfer.
3. Documentation of any unusual items shown on the return (partially-gifted assets, other items relevant to the transfer(s)).

So it seems your Aunt will need these documents for her taxes and you should keep a copy for your records.

Regarding the cash in your safe deposit box, you need to move it immediately into cd's, a money market account, or high interest checking/savings account. Some of these options are fully insured by the FDIC, and your money will do a much better job at least maintaining it's value(Inflation!)

If you have a solid budget, it may be worth talking to a financial planner or knowledgeable family member on where to put your funds.