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A comment on Why nobody ever wins the car at the mall (2018). Parent comment

Re:Why nobody ever wins the car at the mall (2018) by SkeuomorphicBee on Monday July 04, 2022 @07:17AM (#31975817)
> I don't think it's a gift tax, but ordinary income tax.

Is it simply counted on top of (added to) your existing income, and therefore progressive?

If I'm unemployed, with no income at all, would I pay very little to no tax on such a gift? Or gifts are a special case with a separate rate?

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Re:Why nobody ever wins the car at the mall (2018) by chiph on Monday July 04, 2022 @11:09AM (#31977859)
Yes, the normal progressive tax brackets apply. So if Oprah gives you a car worth $40k, and you have no other income that year, you will take the standard deduction and pay 12% on what's left. Don't forget to pay your state income tax and also the DMV to title & register the car. Getting free stuff isn't cheap!
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