is gift money for a down payment taxable
The down payment your parents give you is not considered taxable income on your tax return. Your mortgage lender may require written documentation to prove the money is a gift and not a loan, which would raise your debt load and make it more difficult for you to qualify for a mortgage.s such, the gift can be subject to tax. Anyone could give a tax-free gift of up to $13,000 for the 2012 tax year without triggering a gift tax.