Posted on: 27th Oct, 2009 03:54 am
we recently purchased an unimproved lot at a wexford county, michigan tax sale. we would like to give the lot to my brother. the lot cost just $1,000, and current taxes for us are $45.
how can we best transfer ownership to my brother? will he be responsible for more taxes than we are now? (i understand there is an "uncapping" of taxes in a re transfer.) would a quit claim deed be the most tax-effective way to do the transfer? does it matter if the transfer involves no money, or is there a reason to show $1?
how can we best transfer ownership to my brother? will he be responsible for more taxes than we are now? (i understand there is an "uncapping" of taxes in a re transfer.) would a quit claim deed be the most tax-effective way to do the transfer? does it matter if the transfer involves no money, or is there a reason to show $1?
Hi kriegienjj!
Welcome to forums!
You can use a quitclaim deed to transfer the property to your brother. If you transfer the property as a gift, you will be responsible for paying the gift taxes. However, there are certain exemptions. To know about it check out http://www.mortgagefit.com/gift.html#111114 . As far as the property taxes are concerned, I don't think it would change much. However, consulting a tax adviser in this regard would be a good option.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
You can use a quitclaim deed to transfer the property to your brother. If you transfer the property as a gift, you will be responsible for paying the gift taxes. However, there are certain exemptions. To know about it check out http://www.mortgagefit.com/gift.html#111114 . As far as the property taxes are concerned, I don't think it would change much. However, consulting a tax adviser in this regard would be a good option.
Feel free to ask if you've further queries.
Sussane