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Gift Tax

Posted on: 13th Jun, 2008 03:42 pm
thanks for answering my question about quit claim deed. if my mom qcd the house to me and the fmv is 100,000.00. she paid 21,000.00, no mortgage owed now..............how do you know what the gift tax will be?
Hi GB.

I think you should contact with an tax assessor to know how much gift tax your mother need to pay. As far as I know the annual gift tax exemption limit is $12000. So the fair market value is crossing it. That's why I have said you mother may need to pay the gift tax if she quitclaims the property to you.

Best of luck,
Larry
Posted on: 13th Jun, 2008 11:55 pm
Welcome GB.

Larry is right that the annual gift tax exemption limit is $12000 but the lifetime gift tax exemption limit s $1 million. So the property value has not crossed that amount. So I feel you need not pay any gift tax for the quitclaim.

Hope this helps.

Good luck.
Posted on: 15th Jun, 2008 11:53 pm
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