1 minute reading time (299 words)

Proposition 19 Passed in California

If you or a family member have an inherited property in California or expect one in the future, you would benefit from the information found in California’s newly passed Proposition 19, “The Home Protection for Seniors, Severely Disabled, Families, and Victims of Wildfire or Natural Disasters Act”.

Previous laws such as Proposition 13 allowed homeowners who were disabled or over the age of 55 to transfer their property tax basis one time to a new home under the condition of their replacement residence being valued equal or less than the original home. Furthermore, children could inherit their parents and grandparents properties and keep the same tax basis. However, with Proposition 19 the child must use the home as a primary residence to keep the same property tax basis. The added benefit of the new law is seniors, disabled, and those affected by wildfire and other natural disasters can transfer property tax basis to a home even if it is more expensive than their current residence. As well, property tax transfer may be done up to three times. It is important to note that if you buy a more expensive property, the transfer is prorated, meaning there will be a calculation to adjust the basis .

These rules will not affect transfers of property occurring before February 15, 2021. If you or someone you know is planning on passing a property, it is recommended you consult your tax professional soon. Note that when you pass the property, you also pass the unrealized gain in the property since it is considered a gift as opposed to inherited properties where the realized gain is removed since the cost basis is updated at death. The lifetime gift limit is above $11 million, so it may not be as large of an issue for most.

Capital Gains 2021
API Featured in a NerdWallet Article

By accepting you will be accessing a service provided by a third-party external to https://assetplanninginc.com/

Search Blogs Module

Wait a minute, while we are rendering the calendar
team members National Ice Cream month official certification Joey Gonzales Mobile Banking Security Tips February 14 stock pile jury duty Orange County Superior Court D premiums house sitter spread July 3 rd cell phone carriers offer paper records web address April 11 Medicare question privacy notices toilet paper Part D premiums . CFP ® FEMA website fun facts EEChecklist-Kits.pdf stockpilingchecklist.pdf Open House prescription eyeglasses CA FTB FSA retirement planning 2017 IRA contributions privacy settings ice cream event CERTIFIED FINANCIAL PLANNER exam client portal 900 number ice cream offering insurance Notary Public Puerto Rico July 4 blog post Wells Fargo employees phone companies 20 year anniversary consumer spending cell phone service provider tax filing deadlines increase Medicare 2017 Equifax breach holidays approach driver license records stimulus package asset Planning summer health care services credit freeze items birth certificates ID card assets Roth IRA memorial Day weekend car loans credit monitoring service January 10 retirement IRS deadline pet donation drive April 18 2017. integral member retirement plans business hours cell phone SIM swap scam IRA accounts Supplemental Security Income July 6 Federal Trade Commission website debt Amazon company family members earthquake app IRS disaster areas spam phone drive /usb home mortgages identity thieves phishing sites cell phone provider estate planning Independence Day padlock Wells Fargo customers wells Fargo home Coronavirus Aid credit card fraud coronavirus Medicare Part B premiums Medicare Advantage cell phone carriers president Trump water … information pet insurance policies pet supplies news coverage estate planning direction Expired medications Charles Schwab estate credit score tax season student loans earnings fallout banking home break-ins years 401K Auto insurance notary services Social Security Healthcare emergency kit chip-enabled EMV cards breach Ice Cream Social 2017 TD Ameritrade National LINC Conference Labor Day hurricane Dorian illiegal robocallers non-prescripstion sunglasses parking spots home emergency kit vacation tax deadlines Medicare Part B September 8 TD Ameritrade text messages flash drive Facebook profile retirement accounts policy trust check lists people medications Erin Nelsen emergency folder https :// interest rates health care costs “ skimmer ”. documents portal Affordable Care Act app Victor Dergunov https ://seekingalpha clone counterfeits October 1 2020. April 15 Flexible Spending Account Treasury Department cell phones relief efforts payments Shred paperwork 2018 IRA contributions Orange County clients show support Medicare plan card reader information Facebook Economic Security trustee investment statements operations manager Fox News story Kiplinger Letter phishing scams July weekend September 30 2020. paperwork clutter 4 pm -8pm home security Retirement Contribution Limits Social Security Administration credit card company pets gap insurance donation counts vision screening borrowing money media accounts home emergency preparedness kits tax returns scams life saver Open Enrollment emergency kits self-help topics fun atmosphere Two-Step Verification CARES Act pet industry checklists settlement options bottom line Part B VOIP landline phones identity theft California Lions Friends rescue organizations markets money tax deadline 70 1/2. September 9 Brexit vote executive order partner /owner Kraig Mathias market turmoil DNA test kits 23 andme contribution limit Financial Planning Magazine account numbers interest tax records email notifications June 29 credit cards donation items COVID -19 virus opt-out Asset Planning phone fees insurance policy Legal robocalls spring cleaning clients