I want a Lady Bird Deed drawn up for my property in California to avoid probate.

Business 2 views 5 answers
This deed would designate my children as be the beneficiaries to my property. What are, if any, the gift tax consequences for doing so?

Attorney Answers

5
Ross Meltzer ·
You should consult with an estate planning attorney. Generally speaking, you would need a valid trust in order to avoid your estate going to probate.
0 upvotes
Michael Doland ·
I had never heard of such a thing. I did an internet search. Today, this type of transfer is normally done by a trust. Maybe it's (still) common in Texas but not here in California.
0 upvotes
Michael Raymond DaymudeLitigation LawyerSherman Oaks, CA ·
There was a movement awhile back to allow Lady Bird Deeds in CA. As far as I know, CA still doesn't recognize them as such. There is some discussion on the net regarding CA's Revocable Deeds which purportedly accomplish the same purpose. Since the deed is revocable, I doubt there were be any gift tax consequences and the ultimate beneficiaries should receive a stepped-up basis. You should consult probate or tax counsel for preparation of the deed and consider other more common CA estate planning alternatives.
0 upvotes
Joseph Jonathan BrophyEthics / Professional Responsibility LawyerWhite Plains, NY ·
Many people have a horror of probate. But often probating an estate is the right thing to do. It insures that there is somebody to deal with inconveniences like debts and taxes. Avoiding probate can't make those things go away. Speak to an estate planning attorney and explore all the options.
0 upvotes
James Frederick ·
Lady bird deeds are an excellent estate planning tool that sadly is not available in California. You should speak with an estate planning attorney to determine the best alternative for you. James Frederick
0 upvotes

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