Q: My wife and I own a commercial property. I manage the property, but I’m getting old and having a harder time. According to our will, after our death the property will go to my daughter. Can we now transfer this property to my daughter’s name while she is still alive? Will there be any tax consequences?
A: Yes, you can give it to her if you want. Simply hire a lawyer to prepare the necessary documents for you. There will be tax ramifications, but it’s impossible to say without further information. This is a question you should ask your lawyer and tax advisor.
Remember, you don’t have to give the property to your daughter just because you can no longer manage it. Instead, you can hire them to manage it for you.
Once you give her the property, all income from the property goes to her.
Q: I am a testamentary beneficiary. I paid an attorney who did nothing and there is no movement on the case on the county website. Any information about what I can do would be greatly appreciated.
A: You need to call your lawyer and find out why nothing happened. If necessary, fire this attorney, request a refund of your bail, and hire someone else.
Q: Please explain exactly why an inheritance is required and why so many people work so hard to avoid it.
A: The real estate and investments you own are in your name alone or in your name with someone else. When you die, a court must first confirm that your will is valid and that the executor named in your will has the authority to make the transfers you request so that those assets pass to the person (s) named in your will to have .
You can also die because you have money from people or companies, or both. The executor named in your will must have the legal authority to settle these debts with your money.
There are many other responsibilities for your executor. There is almost always a need to file a final income tax return and pay the taxes owed. Perhaps you live in a house that needs constant maintenance, or you own a business that needs to be closed or sold.
When looking for a will, you need to call on a lawyer. That costs money, often a lot of money. This is a fee that people want to avoid. Sometimes, but not always, it is possible to set up an estate so that everything goes outside of the estate, thereby avoiding some or all of the legal fees.
The information in this column is intended to convey a general understanding of the law, not legal advice. Readers with legal problems, including those whose issues are addressed here, should consult lawyers about their particular situation. Ronald Lipman of Lipman & Associates law firm in Houston is certified by the Texas Board of Legal Specialization in estate planning and estate law. Email questions to [email protected].