Will my thirty-year-old son have to pay taxes on my home if I quitclaim him to the title? What if he just owns one-half of the home; how will that affect his taxes? We live in Boise, Idaho and he already owns two homes that he is buying in his name.

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    Which taxes? Property taxes will certainly need to be paid, but other taxes related to your gift, capital gains in a later sale, etc., would be dependent on information you have not provided. – NL - Apologize to Monica Jun 29 '15 at 16:41

You're talking about gifting your home to your son. That will actually mean that you need to pay taxes, unless the value of your home is below the exemption for the gift tax. You will, probably, use the lifetime exemption, but it will come out of the exemption for your estate.

Once your son is the owner, he'll be liable for the property taxes. If your wife continues living there - she'll probably have to pay rent.

Another issue is that your basis in the home will pass to your son. If you were to give it to your son in your will, your son would have gotten stepped up basis.

I suggest you talk to an estate attorney and form a trust that will allow you executing your plan with less adverse effects.

  • thank you. an irrevocable trust, I think you mean. Deborah – Deborah Carey Jun 29 '15 at 17:33
  • I think that second paragraph should have "wife" changed to "husband" based on the OP's name. Or that sentence reworked to say spouse. – mkennedy Jun 29 '15 at 23:33
  • @mkennedy don't know if anyone told you, but same-sex marriage has been legal in Idaho for a while now. :-P – littleadv Jun 30 '15 at 4:29
  • @DeborahCarey Trust, yes. Not sure if revocable or irrevocable is better. Consider all the alternative. Either way, will probably be better than just quit-claiming. – littleadv Jun 30 '15 at 4:30
  • @littleadv that's great and why I said maybe a generic spouse would be a better term. – mkennedy Jun 30 '15 at 13:28

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