California Senate Bill 989 defers property taxes for taxpayers claiming Proposition 19 base year value transfers when the county assessor has not completed its determination of the property’s eligibility for property tax relief under that section. Additionally, the property tax bill must contain information regarding Proposition 19 base year value transfers and potential tax deferment in large counties.
HJTA announces initiative to “Repeal the Death Tax”
The Howard Jarvis Taxpayers Association will go forward with an initiative to restore the right of parents to transfer their home and limited other property to their children without reassessment to market value.
Prop 19 Inflation Adjustment: Intergenerational Transfers Exclusion Amount Adjusted to (Only) $1,022,600
For Prop 19 transfers, the BOE has adjusted the $1 million cap amount to $1,022,600, as required per inflation adjustments.
1031 Exchange aka the Like-Kind Exchange – An Overview and How To
A detailed article on the like-kind exchange aka the 1031 exchange, including requirements and discussions on use with personal residences, and interplay with the IRS section 121 exemptions. There may be no better tax incentive than the 1031 Exchange, available exclusively to real estate investors.
Trustees and Executors Beware: Proposition 19 Supplemental Property Tax Bills and Escape Property Tax Bills Are Coming Post Sale! Ensure to Account For These Bills Prior To Distributions.
Simply put, absent an exclusion, an inherited property is subject to reassessment as of date of death. If the property is sold to a third party prior to the Assessor being notified of the death (which is often the case), then the Estate will receive the supplemental assessment and any escape assessments from the date of death until the date they sell the property, often long after the property is sold.
Prop 19 Action Alert!: “Repeal the Death Tax” Bill Introduced in the Legislature (To Remove The Death Tax Increases Imposed by Proposition 19)
Exceptional news (but don’t hold your breath just yet) – a bill has been introduced in the California Legislature to repeal the costly property tax increases imposed on property owners’ heirs by Proposition 19 (which causes, in most cases, a reassessment of real estate upon the death of the owner, no longer allowing for the long-standing parent-child exclusions)
Can I Sell My House To My Child (Or Anyone) Below Fair Market Value? / Can I Do A Gift Of Equity?
Yes! Indeed, many owners elect to gift or partially gift their homes to their children now, for many reasons, including current favorable gift tax allowances / exemptions. A gift of equity is a remarkably easy way to allow your child to obtain a traditional loan without any down payment….
2023 IRS Taxable Gift Exclusion Amount Raised To $12,920,000 Per Person / Reportable Exclusion Raised to $17,000 Per Person – 2023 Is A Great Year To Gift Real Estate
Good news for those seeking to gift or inherit real estate in 2023, the IRS applicable taxable exclusion amount for gifts (the total amount exempted from gift and/or estate tax) is raised to$12,920,000 ($12.92mm) per person, or $25,840,000 ($25.84mm) for a married couple filing jointly.
Landlord-Tenant Refresher: The Implied Warranty of Habitability
People have all sorts of personal definitions of what is “habitable” when it comes to their rental home. No, tenants, the blinds being askew is not a breach of the warranty of habitability. Likewise, landlords, the lack of hot water is not ‘no big deal’ to be fixed sometime later in the week. For better or worse, California law is very clear when it comes to rental property habitability.
New Year, New Real Estate Laws – Legal Update From The California Association of REALTORS®
2023 NEW LAWS AFFECTING REAL ESTATE… Here is a summary of just a handful of the new 2023 laws impacting real estate….