MJ In 2022, gifts over $16,000 per person are taxable.  It's not really a matter of slipping one by, though: the gift tax applies on a per person basis, so yes, each member of the donor couple can give each member of the receiving couple $16K tax free.  That's a total of $64K when you add the permutations.  The fair market value of forgone rent apparently totals $72K a year.  But the recipients have two kids who can also receive gifts from each of the donors, so I think the entire value of the gift is still too low to be taxed, assuming the maintenance costs in the article would normally also be covered by the landlord under a rental contract.

MJ In 2022, gifts over $16,000 per person are taxable.  It's not really a matter of slipping one by, though: the gift tax applies on a per person basis, so yes, each member of the donor couple can give each member of the receiving couple $16K tax free.  That's a total of $64K when you add the permutations.  The fair market value of forgone rent apparently totals $72K a year.  But the recipients have two kids who can also receive gifts from each of the donors, so I think the entire value of the gift is still too low to be taxed, assuming the maintenance costs in the article would normally also be covered by the landlord under a rental contract.

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