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I want to give house to my sister

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J

joek

Guest
What is the name of your state?a new florida
Greetings, Several years ago I became joint owner of a home, through a quit claim deed, stating joint owners with right of survivorship.My brother was the other joint owner. In June of this year, my brother passed away and the house became mine through that deed. Now, the house is paid for fully and I want to give it to my sister who does not have a house of her own. I do not really need this house and I want to be generous and helpful to my sister. My concern is the tax issues. Am I subject to any taxes from my becoming sole owner and will I have any tax problems by giving this house as a gift? It is worth about 90,000 dollars.
 


L

loku

Guest
Am I subject to any taxes from my becoming sole owner

No you are not. There is no tax on a joint tenant who becomes the owner of the entire property on the death o the other joint tenant.


Will I have any tax problems by giving this house as a gift? It is worth about 90,000 dollars.

The gift to your sister would be a taxable gift of $90,000; however, there is an annual exclusion of $11,000 on all gifts; therefore, the taxable portion would be $79,000. You will have to file a gift tax return on this. Use form 709 Gift Tax Return, which you can get at www.irs.gov.

There will be no tax for you to pay because each person has a lifetime exclusion of $1 million for gifts. You would exclude the total gift and pay not tax.
 

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