don <davery5872[at]aol.com> wrote:

- quote -

If your mom's estate is greater than $1,500,000, she is
subject to the federal estate tax. If not, she does not
need to do any estate tax planning for that. Assuming the
mobile home is JTWRS, you will inherit it as the surviving
owner.

You do not say who her heirs are but if you are the only
one, you get everything and can do what you like with the
inheritance after it is probated including giving it to your
child or using it in the future to pay for college. What
does she gain by giving it to your daughter now? Does she
not trust you to fund your daughter's education?

Normally, three should be no tax due on such a gift,
particularly if it is less than $11,000. If she contributes
to a 529 plan, she can give up to $55,000. If the funds are
in an IRA or other tax deferred account, there would be
income tax due if they are withdrawn.

Bottom line: If your mother's estate is less than $1.5
million and she trusts you, she may not need to do anything.
There are a lot of unsaid details that could make the
outcome different.

All freely provided advice guarantee correct or double your
money back

Frank S. Duke, Jr. CPA
Cincinnati, OH USA

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"don" <davery5872[at]aol.com> wrote:

- quote -

She can put up to $55000 in a 529 plan without any
consequences and it will grow tax free

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avery5872[at]aol.com (don) wrote:

- quote -

If done with at mother's direction (assuming she is still
legally competent) or if authorized by the power of
attorney, then yes, it is "legal."

- quote -

Gifts are not income for federal income tax purposes.

There may be gift tax returns required by your mother, but
there is no no reportable gift unless the total gifts by a
donor to one donee are more than $11,000 in one year, and
there is no gift tax to pay (even if a return is required)
unless the total of all lifetime taxable gifts is more than
$1,000,000.

- quote -

A transfer with the intent to defraud or hinder future
creditors may be a voidable transaction under the Uniform
Fraudulent Transfers Act, in which case the medical
providers might be able to collect from your daughter's
account.

*Dan Evans
*Author of the Tax Protester FAQ
*http://evans-legal.com/dan/tpfaq.html

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davery5872[at]aol.com (don) wrote:

- quote -

It is if she really tells you to do it. You can't do it
just based on your power of attorney, unless the POA
specifically allows you to make gifts.

- quote -

No, gifts are not taxed to the recipeint.

- quote -

They are payable out of her estate. If the estate has
insufficient funds, any money your mother gave away for less
than fair value might have to be returned to pay creditors.

Stu

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My mom has advanced lung cancer and does not have long to
live. She has a mobile home in Florida (which is in both
our names), a car, and an investment portfolio (both of
which are in her name). As the only child, I am the
executor of her estate and have durable power of attorney.
She wants to take her money out of her investments and place
the money in a college account for my daughter, who is 3
years old. Is this legal? Will I pay taxes on this? What
about any medical bills that may need payment after her
death? Thanks

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