I just read an article on this on 1.0 The author is pro-cash gifting. I've seen these things around for a long time, was involved in one and got notice from authorities to 'cease and desist'. So I did and nothing further happened. NOW I am confused, it was my understanding that cash gifting programs are nothing but a ponzi scheme which is illegal. The author tried to state income tax rules but could not come up with a specific tax code for someone to check. He just said it is OK with the IRS. I am not sure but I would NOT attempt anything like that again. What do you think?