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Do I still have to pay Excise tax after an invalid quit claim?

Posted on: 27th Apr, 2011 12:39 pm
about 1.5 years ago, i moved into my parents house with my kids because i had lost my job.

my credit was not good enough to buy so i was living in the house paying the monthly mortgage payments . this was my parents mortgage.

after a while, my parents thought it was a good idea to quit claim the house to me to help me since i was not able to finance a new home by myself and i was making all the mortgage payments. they consulted an attorney and was told that there would not be any excise tax because it was to be a gift and also since i have been making all the mortgage payments??

so we did and then we got hit with an excise tax bill.

my lawyer appealed but lost.

but then we got a letter from my parents mortgage company telling us that the quit claim was never authorized and invalid.

a few months ag my parents decided to refinance the house and simply add my name to the new mortgage.

so in essence, if the quit claim was never a valid claim even though recorded by the county, ownership never changed....

do i still have pay excise tax for this error and/or what can i because i really do not need to be on this deed? do i quit claim the property back to them???

please help.
Hi mansunwoo,

If the quitclaim deed was recorded at the county recorder's office, then it should be as valid. I will suggest you to have a word with a real estate attorney in this regard and take his opinion in this matter.

Thanks
Posted on: 27th Apr, 2011 08:53 pm
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