Submitted By: Lillian
Answered: January 29, 2016 12:02 pm

Can a grandson make a gift to a grandmother?

Yes. While it’s not the usual situation that someone in a younger generation gives gifts to someone in the older generation, there’s no tax rule barring this. In fact, under tax law there’s no bar to gifts being made by minors.

Tax Glossary

Capital expenses

Costs that are not currently deductible and that are added to the basis of property. A capital expense generally increases the value of property. When added to depreciable property, the cost is deductible over the life of the asset.

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