Posted on: 14th Feb, 2010 08:54 pm
If a person quitclaim deeds a house to another person and the donor's basis exceeds $13,000, does the donor have to file a Gift Tax return to the IRS?
Hi shortround,
If the donor transfer's the property as a gift and the basis exceeds the $13,000 gift limit, then the donor will have to pay gift taxes. However, there is a life time gift tax exemption limit up to $1,000,000. The donor can take advantage of that and avoid gift taxes.
If the donor transfer's the property as a gift and the basis exceeds the $13,000 gift limit, then the donor will have to pay gift taxes. However, there is a life time gift tax exemption limit up to $1,000,000. The donor can take advantage of that and avoid gift taxes.
Thank you adonis.