Posted on: 12th Jul, 2010 04:02 pm
Since I don't have a full time job, my eldest son signed on my Texas home mortgage and title so I could get a home. If I have made all the payments from my account will I need to file a gift tax form as 1/2 of the home toward the lifetime gift? or should I have him make payments to me each year until 1/2 of the cost of the home is paid back to me? And/or should I file a quitclaim or leave him on the title (he is one of three of my sons - and I'd like to leave 1/3 of my assets to each). I don't want him to get hit with gift tax or have problems before or upon my death just because he helped his mom, and I want to do everything in the best possible and legal fashion. Thank you.
Hi ParkerSKJA!
Welcome to forums!
You've mentioned that your eldest son's name is on the property deed. I hope your name is on it as well. If your name is on the deed, then you can add the other two sons to the property deed by signing a quit claim deed. This will make all three of them the owner of the property. If you transfer the property as a gift, then you would become liable for the gift taxes. If you haven't made any prior gift transfer, then you would be able to take advantage of the life time gift tax exemptions.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
You've mentioned that your eldest son's name is on the property deed. I hope your name is on it as well. If your name is on the deed, then you can add the other two sons to the property deed by signing a quit claim deed. This will make all three of them the owner of the property. If you transfer the property as a gift, then you would become liable for the gift taxes. If you haven't made any prior gift transfer, then you would be able to take advantage of the life time gift tax exemptions.
Feel free to ask if you've further queries.
Sussane