Quit claim tax obligation question

[EK1]

What is the name of your state? Connecticut.

Hello,

My wife and I would like to quit claim our house over to her sister. My question is, are any of us liable for any type of tax?

Thanks,

Erik

 

[pojo2]

Depends, but if anyone did it would be you and that depends on the size of your estate.

 

[EK1]

What does it depend on?

 

[anteater]

As pojo2 said, it depends mainly on the eventual size of your estate. And the value of the gift to your sister-in-law, any other gifts in your lifetime in excess of the annual exclusion, and how much of your lifetime gift tax credit you use up. An immediate tax liability? Probably not. An eventual estate tax liability? Maybe, depending on the items mentioned above.

Read up here on estate and gift tax:

http://www.irs.gov/pub/irs-pdf/p950.pdf