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