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Megan C
Megan C, Certified Public Accountant (CPA)
Category: Tax
Satisfied Customers: 16576
Experience:  Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level
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My children inherited their fathers home and want to give

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My children inherited their father's home and want to give me the house and then it would revert back to them with I die. What would their tax liability be on this? We all live in Michigan

MyVirtualCPA :

Thanks for asking your question! I'm sorry to hear about your tax issue and I'm going to try my best to help you understand or resolve it.

MyVirtualCPA :

How are you today?

MyVirtualCPA :

Essentially they are gifting you the house. So long as they have not given away more than $5 million during their lifetime, there is no tax on the gift

MyVirtualCPA :

You will still need to file a gift tax return, as I presume the house is worth more than $14,000

MyVirtualCPA :

Each child would fill out a gift tax return if their interest in the house was more than $14,000

Customer:

Would they have to pay any estate tax on it?

MyVirtualCPA :

No, if the gross estate is less than $5 million

Customer:

Ok, thank you.

Megan C and 2 other Tax Specialists are ready to help you
Thanks, Linda for your positive rating. Please come back and visit MyVirtualCPA for any of your tax, finance, or social security needs it was a pleasure working with you today.