QUESTION

Can I transfer my house to a beneficiary named on my living trust ?

Asked on May 14th, 2019 on Trusts and Estates - California
More details to this question:
I have a living trust with two beneficiaries named. One of them stole tens of thousands of dollars. Can I just transfer my property to the remaining beneficiary and just avoid all else.
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1 ANSWER

Estate Planning Attorney serving Woodland, CA
Partner at Sonin Law
3 Awards
You can do anything you want with your property. I would recommend, though, that if you want to disinherit the beneficiary who has already stolen from you, that you have your trust amended to do that.  Giving your house to the other beneficiary now subjects your home to that beneficiary's creditors, and gives them your basis in the house. What that means is that if they sell the home, they will have to pay a lot of capital gains taxes. Besides that, if the beneficiary is not your child, the property taxes will go up upon the transfer.
Answered on May 20th, 2019 at 8:17 AM

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