Stepped up basis at time of death

[maa]

My grandmother passed away leaving my grandfather as a survivor. Their residence is Kansas and they own their home JTWROS. My understanding is that my grandmother’s half of the home will pass to my grandfather with her half receiving the stepped up basis. Because of the JTWROS, the home would not need to pass through probate.

My grandfather’s attorney is advising him that the home must pass through probate before my grandmother’s half would receive the stepped-up basis. Who is correct? When would you want a property with JTWROS to pass through probate?

 

[lawrat]

I am a law school graduate. What I offer is mere information, not to be construed as forming an attorney client relationship.

Her whole estate will go through probate but because she had joint tenancy with him, when she dies, he gets it all.

Joint tenancy with right of survivorship means each person on the deed is a 100% owner of the property. This means that if one dies, it all goes to the other owner(s). It doesn't go to her descendants, etc/

 

[maa]

My understanding is that only the probate estate is probated. That other components of the "total estate" such as insurance, IRA, annuities, and property with JTWROS that have an assigned surviving beneficiary will pass out side of probate. I am not sure that I understand your answer.