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Is he now passed and other beneficiaries claiming the money?If he being audited for gift tax purposes? Other reasons. Is this a school question?
Is he now passed and other beneficiaries claiming the money. NO If he being audited for gift tax purposes? Not yet Other reasons. Is this a school question? No, real life scenario.
Other facts for you to ponder...this occurred in PA. Oral trusts created after November 5, 2006, are unenforceable in this Commonwealth. I was leaning towards argument of oral trust created to son where father was income beneficiary.
Again my question...did a gift tax place upon "assignment"?
Sorry did a "gift" tax place upon assignment...common law rules state: 1). Was the item in question delivered? 2). What was the actual intent of the donor? 3). Was the item accepted?
Would IRS construe that a gift had taken place upon assignment of the mortgage to the son?
I appreciate comments. One last thought/issue...this "assignment" was recorded at county recorder of deeds office. Does that change anything? The son however was never aware of the recording and as stated, never received any of the mortgage payments.
I appreciate your assistance!