• BlackLaZoR@lemmy.world
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    6 days ago

    And they would pay income tax on it

    Not in my jurisdiction. All direct wealth transfers between parents and children are tax free here. You can literally give your house to your kid, and they are new owner for free.

    Same with inheritance. Closest members of family pay no inheritance tax at all.

    • pfried@reddthat.com
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      6 days ago

      In the U.S., the gifter has to pay federal gift tax. If you transfer a million dollar property, it will be taxed at 40%. Federal inheritance tax has an exemption up to $14 million.

      • BlackLaZoR@lemmy.world
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        5 days ago

        It’s fucked up that you can inherit say, apartment after your parents and you can’t just give that apartment to your children so they can start their families. If they want their own they have no choice but to get long term mortgage.