What is the name of your state (only U.S. law)? California
Hallo all!
Lets say a person is a none resident of the US.
He owns a farm and a commercial real estate in the US.
All of it is rented out and makes income of around 60000 per year.
The farm is worth about 1,6 Million to 2 Million$.
The commercial lot about 500 000$.
He knows , if he passes on , he will have to come up with a lot of money.
Only 60000 $ is considered to be tax free?
He only has around 300 000$ in cash. That would never pay for the amount of gift taxes to be due. Who would pay the rest ?
I am trying to find out some options for him.
His present Idea is to give her the property outright in some time.
What could he do to lower the value of the property ?
Could he make an agreement with the daughter , that she has to take care of the father for live time ?
Could he write the grant deed so , that in side agreement the daughter has to pay him some sort of a retirement?
Could he say in an agreement , that the daughter can not sell the property without his permission?
Could he somehow write the documents so , that if the daughter passes away , that the property would again fall back on to him ?
What other ways are there to make the value of the gift lower?
About how much taxes are due , in federal and California State taxes ?
Is there a tax table in the Internet?
Also could someone exactly tell me what the procedure is? Step by step.
Who apraises the property?
Could he actually sign over the property to her , have the signature notarized and than store the doument away in his bed drawer for years and shortly before his death he gives it to her ?
He still would be the owner of the property as long he does have the grant deed kept away and still would have control over the income.
Would he have to pay the gift taxes the following year with April 15 as a deadline or are the taxes due when he hands over her the property deeds?
Sorry for those many questions .
I am looking for a very low priced way of gifting here that property allready , since she is a citizen of the US and I am not.
But it should not be a will , nor a trust , the property should be overgiven outright.
Thank you so much for any advice
Hallo all!
Lets say a person is a none resident of the US.
He owns a farm and a commercial real estate in the US.
All of it is rented out and makes income of around 60000 per year.
The farm is worth about 1,6 Million to 2 Million$.
The commercial lot about 500 000$.
He knows , if he passes on , he will have to come up with a lot of money.
Only 60000 $ is considered to be tax free?
He only has around 300 000$ in cash. That would never pay for the amount of gift taxes to be due. Who would pay the rest ?
I am trying to find out some options for him.
His present Idea is to give her the property outright in some time.
What could he do to lower the value of the property ?
Could he make an agreement with the daughter , that she has to take care of the father for live time ?
Could he write the grant deed so , that in side agreement the daughter has to pay him some sort of a retirement?
Could he say in an agreement , that the daughter can not sell the property without his permission?
Could he somehow write the documents so , that if the daughter passes away , that the property would again fall back on to him ?
What other ways are there to make the value of the gift lower?
About how much taxes are due , in federal and California State taxes ?
Is there a tax table in the Internet?
Also could someone exactly tell me what the procedure is? Step by step.
Who apraises the property?
Could he actually sign over the property to her , have the signature notarized and than store the doument away in his bed drawer for years and shortly before his death he gives it to her ?
He still would be the owner of the property as long he does have the grant deed kept away and still would have control over the income.
Would he have to pay the gift taxes the following year with April 15 as a deadline or are the taxes due when he hands over her the property deeds?
Sorry for those many questions .
I am looking for a very low priced way of gifting here that property allready , since she is a citizen of the US and I am not.
But it should not be a will , nor a trust , the property should be overgiven outright.
Thank you so much for any advice