taxes96786
Level 9
11-24-2020
09:06 PM
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What your client is proposing is not a good idea, in my opinion. It will affect the child's basis down the road. Any transfer of the property should be on death to insure a full step-up of basis to the child.
In Hawaii we can do a Transfer on Death for property that gets notorized. The child then only needs to present this form and a death certificate to the assessors office to put the property in his/her name. This eliminates including the property in a will or trust and the delay of ownership transfer.