How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Phillip B, EA Your Own Question
Phillip B, EA
Phillip B, EA, Enrolled Agent
Category: Tax
Satisfied Customers: 704
Experience:  Practicing since 2004. Expert in 1040, small business, represent vs. IRS, & int'l tax mattters.
Type Your Tax Question Here...
Phillip B, EA is online now
A new question is answered every 9 seconds

I have a house, with a value of about $35,000, that Id like

This answer was rated:

I have a house, with a value of about $35,000, that I'd like to give to my son. What is the cost, tax wise, to do this. I live in Ohio.
Thanks for using!

There is no income tax consequense for you or your son in this scenario. However, the gift will produce a gift tax consequense for you.

When you give a gift with a value of more than 13,000 dollars, you are required to file a gift tax return. On the gift tax return, you will either have to pay gift tax or use part of your 5.12 million dollar lifetime estate/gift exclusion to avoid paying the tax. The 5.12 million dollar gift exclusion is set to drop to 1 million dollars in 2013, which may or may not change before the end of the year. If you anticipate having a substantial estate (valued between 1 and 5 million dollars) you might want to consider paying the gift tax instead of using up part of your estate exemption.

If there are other questions or concerns, please reply to this answer so that I may assist you further. If you are unsatistfied for any reason, please reply to this answer with your concerns before rating my performance so that I can address your concerns or opt out so that another professional may assist you.

If this answers your question, please rate my performance between OK and Excellent so that I may assist you further. Thanks for using this service!
Customer: replied 4 years ago.
What are the first steps to giving the house to my son. My estate will never be near $1 million, let alone $5 mill:)
Completing the gift should be as simple as filing a quit claim deed with your county assessors office. Unfortunately, I'm not sure for Ohio and calling a local realtor or your county property tax office may be a good place to seek guidance.

Then, when you file the gift tax return, call a local CPA or enrolled agent to prepare the returns for you.
Phillip B, EA and other Tax Specialists are ready to help you