Want to transfer our house to our Son who stays in USA (No mortgage).As we get older we dont want the local council selling it to keep us in a home.We dont want to hire an American Lawyer (COSTAFORTUNE)does anyone know would our Son have to pay any extra taxes etc. We will stay on in the house until both deceased. We live in Scotland. House worth approx.£90,000
2006-12-11 02:46:50 · 4 answers · asked by Isobel M 1 in Business & Finance ➔ Renting & Real Estate
You can "Gift" your home to your son but if you or your husband pass away within 7 years they could try to get you for tax evasion. Go and see a financial adviser or a tax consultant they will be able to advise the best way of doing it. xx ps some places give the first consultation free and you'd probably only need one for this so shop around and ask if they give a free consultation. xx
2006-12-11 08:22:50 · answer #1 · answered by RUTH M 3 · 0⤊ 0⤋
Your son should review his US income tax forms (long form) when they come out in the new year. He should look under the section for foreign investments and/or foreign property. He can also ask this question to his tax agent (example: H&R Block) unless of course he does his own taxes each year.
I am doing the same thing with my parents. The property is being transferred into my name so that if they should pass away, I will not have to worry about the estate laws and the property being tied up in the courts. It is a bit easier for me since we both are in Canada.
My guess is that your son will have to pay a "welcome tax" (if that exists) in Scotland, by becoming a new owner of the property. He would also be sent the tax bills (municipal, school, water, etc) each year, which you or he would then have to pay.
If he were in Canada, he might have had to pay "capital gains" taxes if he ever sold the property. I am not sure if it works the same way in the United States.
2006-12-11 02:58:57 · answer #2 · answered by SteveN 7 · 0⤊ 0⤋
Have the sources move 12.5% of the possession to all and dissimilar, or type an LLC, or different joint possession crew, then take out a coverage as a set with all and dissimilar paying an equivalent percentage of the rates. An coverage employer needs to attraction to close that someone ought to have a monetary loss if something takes position to the sources--- the concept is, you'd be extra in all possibility to burn the position down for the coverage earnings case you do not own it to start with. autos artwork an same way-- you are able to't take out an coverage coverage on somebody else's vehicle.
2016-11-25 20:40:49 · answer #3 · answered by ? 4 · 0⤊ 0⤋
Have a look at equity release mortgages. You basically 'sell' a share of your home to a mortgage lender. You could invest the proceeds in trust for your son on your death.
The council only have the power to sell your home if it is unoccupied, ie, you are both in care or one has passed away.
2006-12-11 03:37:47 · answer #4 · answered by myownprivateroad 3 · 0⤊ 0⤋