I have a small question *U.S. Taxes*..?
We have a family member who owns a real estate rental property inherited. I own an LLC entity that manages a couple of my real estate rental properties. That family member would like to transfer his property to my LLC without any consideration. Will there be any tax consequences to either him or me in this transfer?
- Grandpa MacLv 49 years agoFavorite Answer
If the total value of the property is over $12,000, the giver may have to pay a gift tax. The receiver may have to pay income taxes. Check with a tax advisor to be sure.
- Anonymous9 years ago
For the vast majority of people there will be no tax consequences but the proposal you outline doesn't make sense. Does he want to give you the property (in the form of increasing the value of your LLC) or does he just want you to manage the property.
- BugsyLv 59 years ago
"That family member would like to transfer his property to my LLC "
Is he stupid? GIVE you his property? Sounds like you've duped him to believe you're just going to "manage" it and not take ownership.