Loss of Control: Bringing children into the home means we lose control over this part of the gift. We can only decide what is left.
Debt: If children get into legal trouble, creditors can target their ownership stake in the home.
Capital Gains Tax: If the home is not the child’s primary, the sale will not deduct a portion of the capital gain. The tax bill can be very high.
Increased Property Taxes: With Proposition 19 in California, improperly bringing children into the home can result in increased property taxes each year.
VINH DOAN LAW OFFICE
Estate Planning | Taxation | Probate | Business
Vinh N. Doan, MSIM, J.D., LL.M. in Taxation
10971 Garden Grove Blvd., Suite G
Garden Grove, CA 92843
Cell:(714) 332-9700