Basically, grandma bought a house, hasn’t paid off the loan, and the house is foreclosed. He wants to buy the house (maybe with his Grandma’s blessing) for the remainder of the loan amount. Because the “value” of the house, as determined by the market, is much higher than the amount remaining in the loan, he would have to pay taxes for acquiring a “gift” amount of the difference.
It’s complicated because it gets into wealth transfer laws, and how taxes work in a particular system.
On one hand, generational wealth is a real problem because it lets the rich get richer down their lineage especially for the ultra wealthy, but on the other, if my parents want to give me a house that they paid for and own, why should the government be able to demand some 20k in taxes for my inheritance?
The funny thing is, the gift wouldn’t be taxed anyway. It’s certainly valued less than the multi-million-dollar federal lifetime gift tax exemption (and no state has an exemption under 1 million, either)
I’d bet generational wealth ain’t what it’s cracked up to be. Hows the saying go? “The first generation makes it, the second generation spends it, and the third generation blows it.” Seen that quite a bit in my life experiences.
The only cases where generational wealth really comes into play are with truly wealthy families, and even then the house can come crumbling down. Wealth that can survive through several generations is quite rare.
Then again, why should you have a house (or billions) and I not?
Your parents maybe worked for it, but you didn’t. If your parents are rich, then you have probably had more help in life than someone with poor patents.
This is what I think is the correct way to deal with inheritance, good for you if you get a house btw!
Why does the state, or for that matter any of y’all fuckers, be entitled to my parent’s hard work?
They got taxed on their income all their lives. They paid property taxes all their lives. And here you are, looming over their dead bodies, still trying to get your grubby little hands in their pockets.
Jealousy is a sin. Y’all just mad people busted their asses off to improve their lives and the lives of their children while you’re sitting here whining to your cats about how it’s unfair you don’t get a share of the pie.
If I understand this person correctly, they’re asking about how they can cheat their grandma?
Basically, grandma bought a house, hasn’t paid off the loan, and the house is foreclosed. He wants to buy the house (maybe with his Grandma’s blessing) for the remainder of the loan amount. Because the “value” of the house, as determined by the market, is much higher than the amount remaining in the loan, he would have to pay taxes for acquiring a “gift” amount of the difference.
It’s complicated because it gets into wealth transfer laws, and how taxes work in a particular system.
On one hand, generational wealth is a real problem because it lets the rich get richer down their lineage especially for the ultra wealthy, but on the other, if my parents want to give me a house that they paid for and own, why should the government be able to demand some 20k in taxes for my inheritance?
The funny thing is, the gift wouldn’t be taxed anyway. It’s certainly valued less than the multi-million-dollar federal lifetime gift tax exemption (and no state has an exemption under 1 million, either)
Would that really be a gift? How does that work?
I’d bet generational wealth ain’t what it’s cracked up to be. Hows the saying go? “The first generation makes it, the second generation spends it, and the third generation blows it.” Seen that quite a bit in my life experiences.
The only cases where generational wealth really comes into play are with truly wealthy families, and even then the house can come crumbling down. Wealth that can survive through several generations is quite rare.
Then again, why should you have a house (or billions) and I not?
Your parents maybe worked for it, but you didn’t. If your parents are rich, then you have probably had more help in life than someone with poor patents.
This is what I think is the correct way to deal with inheritance, good for you if you get a house btw!
Why does the state, or for that matter any of y’all fuckers, be entitled to my parent’s hard work?
They got taxed on their income all their lives. They paid property taxes all their lives. And here you are, looming over their dead bodies, still trying to get your grubby little hands in their pockets.
I’m not talking about you personally, I’m talking about the general idea of taxing inheritances.
If you don’t tax it, we’ll all end up working for jeff besos grand son, for peanuts and no house.
Also, if you get a bunch of grands, I can live with that, you got lucky, good for you. But millions? Not so much IMO.
Jealousy is a sin. Y’all just mad people busted their asses off to improve their lives and the lives of their children while you’re sitting here whining to your cats about how it’s unfair you don’t get a share of the pie.
If grandma don’t know how to play the game, that’s on her.