Posted on: 22nd Oct, 2010 11:27 am
My parents have purchased(cash) land in Florida that is now about 50% down.
I have an opportunity with potentially large capital gains.
Can they transfer their land(quitclaim or similar) to me so that i am able to write off the capital losses on their house against my capital gains?
I have an opportunity with potentially large capital gains.
Can they transfer their land(quitclaim or similar) to me so that i am able to write off the capital losses on their house against my capital gains?
P.S. My parents and I live in California
Hi javaguru,
If the property is in your name, then you'll be able to claim the capital losses. You should contact a tax adviser and take his opinion in this regard.
Thanks
If the property is in your name, then you'll be able to claim the capital losses. You should contact a tax adviser and take his opinion in this regard.
Thanks
Thanks James.
The property is currently under my parents name. Quitclaim will transfer the property under my name, but will the losses be taken against the value of the property at the time of original purchase(approx. $300k) or against the value during quitclaim deed(approx. $150k)?
The property is currently under my parents name. Quitclaim will transfer the property under my name, but will the losses be taken against the value of the property at the time of original purchase(approx. $300k) or against the value during quitclaim deed(approx. $150k)?
Any opinion of valuation of property? Does it take place during the original purchase or during the transfer/quitclaim?
Any advice guys?
Hi javaguru,
As far as I know, the value of the property during the transfer will be taken into consideration while calculating capital gains losses.
Thanks
As far as I know, the value of the property during the transfer will be taken into consideration while calculating capital gains losses.
Thanks