money gifted and FTB

[2CheekyMonkeys]

just wondering if someone was given a substantial amount of money as a gift would you have to declare that to centerlink and would it affect your family tax benefits?

[briggsy's girl]

just wondering if someone was given a substantial amount of money as a gift would you have to declare that to centerlink and would it affect your family tax benefits?

the lump sum, no, it's not declarable (unless it is taxable for some reason - check with ATO)

if it's a sizable amount though, any interest earned would be taxable "income" and therefore will impact your FTB entitlement

[2CheekyMonkeys]

hey, just popping back in to see if i am obligated to notify centerlink when i receive this gift money?

[Olive]

as bg said no you dont, its just the earning you make via interest that may impact your FTB, ie you may loose some

[2CheekyMonkeys]

thanks olive. yep i got that bit but i just wanted to double check that i dont even HAVE to tell them about it? (the lump sum.. wont be getting interest anyway cayse we will spend it quick on the house)

[briggsy's girl]

provided there is only FTB c'link don't care about it - it's only what the ATO deem income - so just make sure via ATO that none of it will be considered taxable (PLEASE CHECK THIS!) - if none is taxable, none has to be reported to C'link. i know with inheritance payments that go on debts, they generally don't count it as income - but if it's gifted it may be different

[*Ali*]

I am pretty sure that gifted funds are not counted as income, we were gifted funds by my MIL when we were buying our house, and the ATO said that they didnt need to know about it, unless, like the others say it earns you interest.