I have a question about what constitutes a gift or inheritance. I received money from a parent after my grandparent died. Does this count as a cash gift or inheritance?
Regarding your question about gift or inheritance, if you received the money through your grandparent’s will or estate, the money was an inheritance.
The money was probably a cash gift if:
- You didn’t receive the money directly through your grandparent’s will or estate.
- Your parent wasn’t obligated — by the will or otherwise — to give you the money.
- You gave your parent nothing in return.