Listen to a Business English Dialogue about Gift inter vivos
Kenneth: Hi Elena, have you ever heard of a gift inter vivos?
Elena: No, what does it mean?
Kenneth: It’s a legal term for a gift given by one person to another during their lifetime, rather than through a will or inheritance after death.
Elena: Oh, so it’s like giving a gift while you’re still alive?
Kenneth: Exactly. It’s often used in estate planning to transfer assets to loved ones and reduce the size of the giver’s estate for tax purposes.
Elena: I see. So, what are some common types of gifts inter vivos?
Kenneth: Cash, stocks, real estate, and valuable personal property are some examples of assets that can be given as gifts inter vivos.
Elena: That’s interesting. So, are there any tax implications for giving gifts inter vivos?
Kenneth: Yes, in some cases, the giver may be subject to gift tax if the value of the gift exceeds certain limits set by the IRS.
Elena: I see. So, it’s important to be aware of the tax consequences when making gifts inter vivos?
Kenneth: Absolutely. It’s wise to consult with a tax advisor or estate planning attorney to understand the implications and plan accordingly.
Elena: Thanks for explaining, Kenneth. Gift inter vivos seems like a useful tool for estate planning.
Kenneth: No problem, Elena. It can be an effective way to transfer wealth and assets to loved ones while minimizing tax liabilities.