Of Counsel Attorney Alicia Gamez was recently interviewed for KQED Article
Carmel & Naccasha LLP Of Counsel Attorney Alicia Gamez was recently interviewed for an article distributed by KQED, the National Public Radio and Public Television stations in the San Francisco Bay Area, discussing essential considerations when inheriting or bequeathing a home in California, particularly following the passage of Proposition 19.
Proposition 19, passed narrowly by California voters in 2020, aimed to provide older homeowners with the opportunity to downsize while enjoying a significant tax break. Under these rules, homeowners are allowed to maintain their previous property tax rate when moving into a home of equal or lesser value. Advocates argued that Proposition 19 would open up thousands of housing opportunities for first-time homeowners, families, and other Californians. However, it also introduced new challenges for those inheriting a home in California. Houses are required to have their value reassessed at the time of transfer, often resulting in substantial increases in property taxes for the inheritor.
In the KQED article Ms. Gamez discussed implications for those affected by this bill, and differences depending on whether you intend to rent out the inherited home or reside in it yourself. She also addresses the likelihood of the bill being overturned, which has been advocated by some property owners, and whether this is a probable outcome. For more information on steps beneficiaries can take to mitigate the increased tax burden and navigate the complexities of inheriting property in California, please read the full article here.
If you have further questions about Proposition 19 and its potential impact on your property, our team is here to support you. Feel free to contact Alicia Gamez directly at her email, agamez@carnaclaw.com or call her at (805) 546-8785. Her specialties include California Taxation Law as well as Corporate & Securities Law, Business Transactions, and Trusts, Estate Planning & Probate.
