Your California 2022-2023 Property Tax Bills have arrived! The first installments can be paid until December 12, 2022, second installments by April 10, 2023.
Understanding Capital Gains Taxes in Real Estate Sales and Using the IRS Section 121 Exclusion (aka the Homeowners Exemption or Homeowners Exclusion) Saving $250,000 or $500,000 of Taxable Gains
IRS Section 121 allows a reduction of potential capital gains taxes by $250,000 for single filers and $500,000 for married filing jointly filers when certain tests are met for the sale of your primary residence.
Efforts to repeal Proposition 19’s costly Death Tax On Inherited Property have fallen short for the November ballot initiative. Over 402,000 signatures were obtained to repeal those provisions of Prop 19 which wiped out former Propositions 58 and 193 (those propositions allowed parents to transfer their ‘prop 13 basis’ or ‘proposition 13 basis’ to their children; now no longer due to Prop 19’s changes, thus causing a substantial ‘death tax’ on California inherited property).
What Happens If I Cannot Meet the One Year Deadline to Move In and File the Claim for Homeowners’ Exemption Under Prop 19?
The answer to this critical question is in FLUX. The official answer, detailed below, is that the one (1) year deadline is firm, with no exceptions. HOWEVER, as of April 1, 2022, the BOE has used its “Emergency Powers” to enact a common sense answer to this question (allowing additional time to file a claim for Homeowners Exemption, with caveats).
New Year, New Tax Laws Impacting Real Estate Sales – IRS Exclusion Amount For Gifts Raised To $12.06mm Per Person
Good news for those seeking to gift or inherit real estate in 2022, the IRS applicable exclusion amount for gifts (the total amount exempted from gift and/or estate tax) is raised to $12,060,000 ($12.06mm) per person, or $24,120,000 ($24.12mm) for a married couple filing jointly.
Efforts to ‘Reinstate 58’ and ‘Repeal’ The Costly Inheritance Tax Portions of Proposition 19 are Underway
Efforts to ‘reinstate 58’ and ‘repeal’ the inheritance tax portions of Proposition 19 are underway by the Howard Jarvis Taxpayer Association.
Navigating New California Proposition 19: Its Dramatic Property Tax Increase on Inherited Property and Added Benefits to Portability For Those 55 and Older
California Proposition 19 is a massive property tax hike on the next generation of property owners. It wipes out the current Proposition 58 and Proposition 193 family transfer benefits, effective February 16, 2021. This is potentially the largest property tax increase in California history… but it will only impact the next generations; this is a new death tax and inheritance tax on real property owners’ heirs.
What is my new property tax if I move under the Proposition 19 portability feature?
Proposition 19, new for 2021, has two main components, portability and inheritance. This article will focus on the portability aspects.
We discuss how to determine your new property tax bill under Proposition 19 family transfers: (“new” property tax basis) = ((Fair Market Value) – ((old property tax basis) + $1,000,000)) + (old property tax basis))! Explained in our article.
Intra Family Sale and/or Gifting of Real Estate in California (Propositions 13, 58, 193, 60 and 90 and new Proposition 19)
Lucas Real Estate – Attorney Devin Lucas and CPA Courtney Lucas – are experts in California intra family transfers using all aspects of Propositions 13, 58, 193 60 and 90 and new Proposition 19. Learn more about how Lucas Real Estate may help by clicking here. WARNING — CALIFORNIA PROPOSITION 19 HAS UPENDED THIS ENTIRE … Continue Reading