Parents giving $$

My parents are building a house on my brothers property in N.M. and have decided to put the house in his name. To be fair, they've decided to transfer stocks of equal amount into my name.

I'm trying to figure out the best was to transfer their money to avoid current or future taxes.

I'm not familiar with GRATs. If they are to give it to me as a gift I would
1.) want amount - 20k. With my mother giving me 10K and my father 10K. I could extend this and have my father give 10k to me, my spouse and my 3 children each. Then have my mother do the same. Either way, the intent is to reduce the taxable gift amount.

2.) for the remaining I would want half come from my mother and half from my father so as to make the most benefit from each estate tax deductable of ~675K (depending on when they die).

I'm not sure if this is the best approach or not. ASSUMING that it is, since they plan on signing over the stock to me - is that really the best way? Because if I were to sell it, I would have to use their cost basis for tax purposes. Is it better for them to give me the money in other forms?

As you can tell I'm rather confused. Any suggestions grateful.


elizabeth....

The $10,000 per person does NOT come out of the $675,000, and both parents can combine their $10k and give $20k to each family member.

If your parents have lots of money, they need an estate planning lawyer to help them.

You do get the old basis on the appreciated stock.