Posted on: 09th Apr, 2010 12:27 pm
My ex-spouse and I were co-owners of a home.
I recently quitclaim-deeded my half of the property to her. She now wants to reverse the process. If she quitclaim deeds my original 50% back to me, does it cancel out or void the original gift tax impact to the $1M lifetime exclusion, or is it viewed by the IRS as two separate gifting processes, thus impacting both of us in terms of the $1M exclusion?
Steve
I recently quitclaim-deeded my half of the property to her. She now wants to reverse the process. If she quitclaim deeds my original 50% back to me, does it cancel out or void the original gift tax impact to the $1M lifetime exclusion, or is it viewed by the IRS as two separate gifting processes, thus impacting both of us in terms of the $1M exclusion?
Steve
Hi stevefields,
As far as I can understand, the IRS will view this as two separate gifting processes and it will have an impact on both of you.
Thanks
As far as I can understand, the IRS will view this as two separate gifting processes and it will have an impact on both of you.
Thanks