does he hate his kids?
25/01/2013, 14:03
yes, it's obvious
Nice haha
Property automatically transfers to the spouse upon death (this is one of those rights gays want their marriages recognized for).
If it's bequeathed to a child, the child has to pay Capital Gains tax on the value of the home, just like income tax. Given how expensive a home is, this can sometimes be half the value of the property. Most children don't have half the value of their parent's house sitting around in their bank accounts.
So, nobody gets the house, and the kids split a check for whatever was left after the house sells.
Incidentally, the way to avoid this is a good Term Life Insurance policy set up to cover the capital gains tax value of your house (and a few other things, but we're talking about the house now). You die, the Life Insurance pays for the cut of your house the government demands, and the kids get to live in it.
I'm sorry this wasn't a funny post. :P
If it's bequeathed to a child, the child has to pay Capital Gains tax on the value of the home, just like income tax. Given how expensive a home is, this can sometimes be half the value of the property. Most children don't have half the value of their parent's house sitting around in their bank accounts.
So, nobody gets the house, and the kids split a check for whatever was left after the house sells.
Incidentally, the way to avoid this is a good Term Life Insurance policy set up to cover the capital gains tax value of your house (and a few other things, but we're talking about the house now). You die, the Life Insurance pays for the cut of your house the government demands, and the kids get to live in it.
I'm sorry this wasn't a funny post. :P
