Transferring money to K1 fiance

[Joanne82 1]

@JessieABC

 

If it is someone else (like a parent or friend) then no, spousal status doesn't affect this.

 

If it is you sending the money and you are not yet married then you could send it to your fiance from the UK prior to your going over to the US. 

 

If you are already over there but not married, then I don't know, I guess you would be in a bit more of a complicated situation in terms of your citizenship. Potentially you could still be classed as a UK citizen on a visa, as you haven't yet done your adjustment of status and could send money from a UK bank account. However the company I used said you had to be domiciled in the UK to send the money so it's probably not going to work.

 

If you are over there and married, then as far as I can tell you would be subject to the marriage gift tax thing of $15,000.

 

As it's currently tax season I wasn't able to get anyone local to my fiance in Virigina to see him, however I got some sound advice from this accountant on Just Answer surprisingly http://my.justanswer.com/request/TaxRobin?source=EmailSharing

 

 

 

 

Edited April 6, 2017 by Joanne82

[Wuozopo 4,293]

4 hours ago, JessieABC said:

Does spousal status affect this or does only residency/citizenship matter in cases such as this?

Not sure what you are asking. Is the foreign spouse the giver? 

 

 

[JessieABC 159]

11 minutes ago, Wuozopo said:

Not sure what you are asking. Is the foreign spouse the giver? 

 

 

I'm a USC and my husband is British citizen.  Wasn't sure if the above scenarios also applied to foreign spouses of Us citizens or only foreign fiancés.  We were trying to figure out what would be the best way to transition his liquid assets without a huge chunk going to the bank and as to whether we needed to take action before he finally gets a visa or after.

 

still a bit new to the transition aspect of all this for the foreign spouse so thank you all for your input and advice!

Edited April 7, 2017 by JessieABC

[Wuozopo 4,293]

Yes it applies the same. Once he's here and a resident and tax payer, he can give to you his spouse any amount and is not restricted by the current gift limit. But if he's here, he could transfer to his own account or a joint account.  I use Transferwise to transfer money from my UK bank account. Lower fees and better exchange rates than banks. No problems and maybe 3-4 days to have it in the US account. Fully informed along the way by notifications. 

[Wuozopo 4,293]

7 hours ago, JessieABC said:

I'm a USC and my husband is British citizen.  Wasn't sure if the above scenarios also applied to foreign spouses of Us citizens or only foreign fiancés.  We were trying to figure out what would be the best way to transition his liquid assets without a huge chunk going to the bank and as to whether we needed to take action before he finally gets a visa or after.

 

still a bit new to the transition aspect of all this for the foreign spouse so thank you all for your input and advice!

Not sure if my previous post explained clearly enough.  All the rules discussed are IRS rules, so we are only looking how they apply to you JessieABC, the American taxpayer.  The Btitish spouse or fiancé doesn't have to play by IRS rules until they become a "US person" as the IRS calls them. That's basically a US taxpayer and another set of rules. But for now your husband is just a foreign person so can transfer to you any amount. You J-ABC as an American can receive money gifts from a foreigner with no taxes to pay. If it's more than $100,000, you will do a report to say you got $$ from a foreigner.

 

The $14,000 gift limit is only on an American taxpayer who wants to give money away, which nobody in this thread wants to do. But if an American decided to send money the other way (to the UK) It works like this:

Give up to $14k to a fiancé, friend, cousin, stranger at no extra cost to you. Give more than that and you (the American giver) have to pay some gift tax to the IRS.  Maybe they should call it the giver tax.

But if the American is giving to their spouse,  there is no $14k limit or gift tax.

 

Edited April 7, 2017 by Wuozopo