Is the amount calculated by the gift tax calculator the same as the actual tax?

Hello. This is an inheritance-specialized attorney from Daeryun Law Firm.

You must have many concerns about tax calculation as you are facing a gift involving real estate and cash.

To get straight to the point, the amount calculated by the gift tax calculator may differ from the actual amount paid, so caution is needed.

You will usually enter publicly announced land prices or arbitrary amounts in the calculator, but tax authorities preferentially apply 'market value' such as similar transaction prices or appraisal values around the gift date.

In particular, recently, similar transaction prices within apartment complexes have been recognized as market value, and there are frequent cases where much higher taxes than expected are imposed.

Also, whether to combine gift records within the past 10 years is also important.

Since gift tax has a progressive tax structure, if there is property received from parents before this gift, all of these must be combined to recalculate the tax base.

Many gift tax calculators only calculate this gift independently, so for those with past records, the tax rate bracket may rise during actual filing, causing taxes to surge.

The last issue is the omission of complex deductions and tax items.

If cash and real estate are mixed, or if real estate includes mortgages, jeonse deposits, etc. ('debt-bearing gift'), not only gift tax but also capital gains tax must be reviewed together.

Also, if filing tax credit or other personal deduction items are not precisely reflected, the calculator results may be inaccurate.

Therefore, please use the gift tax calculator only as a reference for estimating an approximate budget, and at the actual filing stage, it is safe to go through specific asset valuation and legal review.

If necessary, we recommend deriving an accurate tax amount through consultation with an inheritance-specialized attorney and tax accountant.