In the second blog, of my three blog guest post for the Canadian Capitalist; I discuss the income tax implications of transferring or gifting a cottage to your children. Many people are unaware these gifts or sales, often create an immediate income tax liability.
The blogs posted on The Blunt Bean Counter provide information of a general nature. These posts should not be considered specific advice; as each reader's personal financial situation is unique and fact specific. Please contact a professional advisor prior to implementing or acting upon any of the information contained in one of the blogs.
What happens when three siblings own a cottage and one of the siblings wants to be bought out because they are dying and they need the money but the other two refuse ? The dying sibling has no will and is married with one daughter age 21. What tax implications are there for the surviving spouse and the siblings?ReplyDelete
They(you?)need to get a will urgently. In Canada,if you die without a Will you are considered to have died "intestate." Simply put, this means that your provincial government decides how your assets will be divided—and not you. Get a will or tell them to get a will ASAP.