Question : tax laws pertaining to a living trust?
My father owes the IRS $80,000 in back taxes. My grandmother wants to leave her house to him in her living trust. In the event of her death, the house will go to him. Can the IRS seize it because of his back taxes? Is there any way for her to leave it to him without the IRS being able to take it? Thank you for your time.
- asked by cloverhrt
All Answers:
Answer #1
I doubt it. It is almost impossible to avoidtaxes in anyway with the IRS. I suggest yourgrandmother change her trust (providing it isrevocable which it probably is) and leave themoney to you or your mother or sister which wouldavoid the IRS problem. You or the or the newlynamed beneficiary could then give part or all themoney to your grandfather. Remember, however,depending on the state you are in there are alsotaxes on the inheritance.
- answered by ronald.glass@sbcglobal.net
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measure and fulfill your financial needs
