Prop 19 & How You May Be Affected
Changes will be made on February 16th 2021, Lawyers advise those bracing for Prop. 19’s impact: ‘Now is the time to act’' (Source: San Francisco Business Times)
'Children inheriting parents’ property will be impacted financially. Newly passed Proposition 19 will have potentially severe financial consequences for children inheriting property from their parents. Approved by California voters in the November election, Prop. 19 marks a landmark change to Prop. 13, the 1978 law that aims to limit property taxes. Eligible homeowners may now transfer their tax basis anywhere within the State and to a property of greater value, whereas previously homeowners were limited to transfers within certain counties and to homes of the same or lesser market value. Prop. 19 increases the number of times that certain people may transfer their tax assessments. If a person is 55 years or older, has severe disabilities, or lost a home in a natural disaster, the person may transfer their tax assessment up to three times now (up from one). The new law also requires market-value reassessments for inherited properties that are not used as the heir’s principal residence.' (Source: JD Supra)
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