This is a multi-part message in MIME format.
---------------------- multipart/alternative attachment
My question is: US-specific
QUESTION: We would like to grant a 1/4 interest in a condo that my husband and I own to our daughter as a gift. I am told that we need to complete a grant deed form and sign it before a notary. We can do that but the forms that I see seem to be granting total interest in the property. How do we make it clear that there is only 1/4 interest and have her name added to the deed?
---------------------------------------------------------------------------
david ingram replies:
You (A) and your husband (B) will likely sell the condo or transfer the condo to your daughter (C) and (A) and (B)
In other words, at the moment the condo is owned by A & B. A & B will sell it or transfer it to A& B & C.
You have to decide whether the ownership of A & B & C will be Joint Tenants with right of survivorship (Which is the way it is likely registered now between A & B or whether A & B will be joint tenants with right of survivorship and 75% ownership with C as Tenants in Common and 25% ownership.
In the first scenario, If B dies, C and A automatically own the whole thing with A owning 37 1/2 % plus 1/2 of 37 1/2 % and C owning 25% plus 1/2 of 37 1/2%
.
In the second scenario, if B dies, A automatically owns the whole 75% and C still only owns 25%.
Each state will have its own rules for the registration on title. Your lawyer will have to decide the rules for your state.
You might want to have a codicil or agreement on the side (and registered against the title) that your daughter cannot pledge or sell her 1/4 interest under any circumstances.
A third scenario would be that you all own the unit as tenants in common with A and B owning 37 1/2% each and C owning 25%. In this caser, if B dies, B could leave (in their will) their 37 1/2% to A or C or their favorite charity.
Hope this helps and please, whatever you do, sit down with an attorney who understands gift tax for both your state and the federal government.
David Ingram's US/Canada Services
US / Canada / Mexico tax and working Visa Specialists
US / Canada Real Estate Specialists
108-100 Park Royal South
West Vancouver, BC, CANADA, V7T 1A2
Calls accepted from 10 AM to 10 PM 7 days a week
Res (604) 980-3578 Cell (604) 657-8451
Bus (604) 980-0321
[email protected]
www.centa.com www.david-ingram.com
Disclaimer: This question has been answered without detailed information or consultation and is to be regarded only as general comment. Nothing in this message is or should be construed as advice in any particular circumstances. No contract exists between the reader & the author and any and all non-contractual duties are expressly denied. All readers should obtain formal advice from a competent financial, or real estate planner or advisor & appropriately qualified legal practitioner, tax or immigration specialist in connection with personal or business affairs such as at www.centa.com. If you forward this message, this disclaimer must be included."
This from "ask an income tax and immigration and bankruptcy expert" from www.centa.com or www.jurock.com or www.featureweb.com. Canadian David Ingram deals daily with tax returns dealing with expatriate:
multi jurisdictional cross and trans border expatriate problems for the United States, Canada, Mexico, Great Britain, the United Kingdom, Kuwait, Dubai, Saudi Arabia, South Africa, Thailand, Indonesia, Egypt, Antarctica, Japan, China, New Zealand, France, Germany, Spain, Italy, Russia, Georgia, Brazil, Peru, Ecuador, Bolivia, Scotland, Ireland, Hawaii, Florida, Montana, Morocco, Israel, Iraq, Iran, India, Pakistan, Afghanistan, Mali, Bangkok, Greenland, Iceland, Cuba, Bahamas, Bermuda, Barbados, St Vincent, Grenada,, Virgin Islands, US, UK, GB, American and Canadian and Mexican and any of the 43 states with state tax returns, etc.
income tax wizard wizzard guru advisor specialist consultant taxman Alaska, Alabama, Arkansas, Arizona,
California, Colorado, Connecticut,
Delaware, District of Columbia, Florida,
Garland, Georgia, Hawaii, Idaho, Illinois,
Indiana, Iowa, Kansas, Kentucky,
Louisiana, Maine, Maryland,
Massachusetts, Michigan, Minnesota,
Mississippi, Missouri, Montana, Nebraska,
Nevada, New Hampshire, New Jersey,
New Mexico,New York, North Carolina,
North Dakota, Ohio, Oklahoma, Oregon.
Pennsylvania, Rhode Island, Rockwall,
South Carolina, South Dakota, Tennessee,
Texas, Utah, Vermont, Virginia,
West Virginia, Wisconsin, Wyoming,
British Columbia, Alberta, Saskatchewan,
Manitoba, Ontario, Quebec City,
New Brunswick, Prince Edward Island,
Nova Scotia, Newfoundland, Yukon and
Northwest and Nunavit Territories,
Mount Vernon, Eumenclaw, Coos Bay
and Dallas Houston Rockwall Garland
Texas Taxman and Tax Guru and wizzard
wizard - Your name has been added to our email list because of an enquiry we have received, we may not answer your question but
another similar question will be as we lump them.
You may find more answers at www.centa.com
David Ingram of the CEN-TA REALTY Group
US / Canada / Mexico tax and working Visa Specialists
US / Canada Real Estate Specialists
108-100 Park Royal South
West Vancouver, BC, CANADA, V7T 1A2
(604) 980-0321 - Fax 913-9123 [email protected]
www.centa.com www.david-ingram.com
---------------------- multipart/alternative attachment
An HTML attachment was scrubbed...
URL: http://www.centa.com/CEN-TAPEDE/centapede/attachments/ebd7d8a3/attachment.htm
---------------------- multipart/alternative attachment--
What's Related