Wire Tranfers to our bank in the US

[cdrobin66]

Hello Gang

 

My wife family wants to send us some cash which belongs to my wife. Her sister will go to Bank of China and wire transfer $20,000.00. Is there anything we need to look for? Is there any IRS rules that need to be adhere to? Will we have to pay taxes on this sum of money? I have been reading that if the sum is over 10k, the Bank as to notify the US Govt.

 

Carl

[LeeFisher3]

If you run into problems initiating a transfer of that size from China you might consider using Western Union from 3 or 4 family members.

[jim_julian]

The bank will do reporting on the transfer to the Federal Govt.

 

The general rule is that if her earning this money predates your filing taxes as a married couple then it is not taxed. Any earnings she has since you're married, if your filing jointly, are part of your global income and taxable. If she files separately then it is taxable to her if earned since the tax year she first filed in the US.

 

Those are the general rules ... precisely how they apply to you should be addressed by you.

[jim_julian]

Please let us know if BOC will allow the transfer. This comes up every now and then and we don't have good data on transfers in excess of $10K.

[jimncherry]

Hello Gang

 

My wife family wants to send us some cash which belongs to my wife. Her sister will go to Bank of China and wire transfer $20,000.00. Is there anything we need to look for? Is there any IRS rules that need to be adhere to? Will we have to pay taxes on this sum of money? I have been reading that if the sum is over 10k, the Bank as to notify the US Govt.

 

Carl

 

 

Here is my experience on transfers...The government of China controls the money going out of China. To transfer that sum of money out of China is not a easy process. If I were you I would do it in increments instead of total. By the way, the rmb is worth more than the usd nowdays. May 2007 - 7.51 rmb to 1 usd April 2 2008 - 7.01 rmb to 1 usd. My understanding is that by August of 2008, it will be 6.45 rmb to 1 usd. I would recommend she keep it there until the market stabilizes or invest it there in China. We bought Real estate there and I have already made 38% in 4 months. Anyways, look at all options and check with your accountant that knows the international exchange.

[cdrobin66]

The BOC told my sister-inlaw in china that she could not transfer that amount at once. They could only do 50,000.00 yuan at a time. So we will have to do this in 3 moves. I will keep you all posted.

 

Carl

 

 

The bank will do reporting on the transfer to the Federal Govt.

 

The general rule is that if her earning this money predates your filing taxes as a married couple then it is not taxed. Any earnings she has since you're married, if your filing jointly, are part of your global income and taxable. If she files separately then it is taxable to her if earned since the tax year she first filed in the US.

 

Those are the general rules ... precisely how they apply to you should be addressed by you.

[pbatt]

I have been in China for two weeks, I leave the 9th for home. The rate from BOC for exchange my USD to RMB has been 6.94 for these two weeks.I got 6.94 on 28th march and also on 4th of april.

 

For what its worth my friend in Guangzhou told me many people have committed suicide after losing all their money in the stock markets here.

 

I know the 10,000 dollar rule has been in effect for many years. They just want to know where that much money is coming from and why. The reason behind it was for money laundering and drug money.

[Kris-Jing]

We've done bank wire transfers of this size in the past. No hassles, and no questions asked.

[Vanessa S.]

my husband wired me $9,000 two times since the bank (Bank of Jiangsu) told him no more than that is allowed, and my bank (US Bank) said nothing about it!

[cdrobin66]

Hey

Well the wire transfers went well, My sis-inlaw had to do Three transfers, one after another..hahah Sis, mom and then dad. They all hit my bank within 6 hours. But I asked my bank why I was shorted $40, they responded that it routed through another bank so they took a cut.

 

Carl

 

my husband wired me $9,000 two times since the bank (Bank of Jiangsu) told him no more than that is allowed, and my bank (US Bank) said nothing about it!