Legal Question in Wills and Trusts in California

Dad passed away 11 years ago & had a trust. He was incorporated, with the only asset in the corporation being a 6 unit apt bldg.My sister was successor trustee - she kept another property of my dad's and I got the units (along with the corp.). Her property was not purchased through the corporation.

Question is this: I have filed with ca. corp. office all changes to corporate ownership. But since the property is still owned by the corporation, I did not file change of ownership with tax assessor's office. Was I supposed to??


Asked on 7/25/14, 5:34 pm

1 Answer from Attorneys
William Christian Rodi Pollock

Probably. A lot more information is needed, and you should discuss with tax counsel the very poor decision to have this real estate held in a corporation. The entity transfer rules have changed over the years, and more information on exactly what was done and when, is required. In general, your sister should have done the reporting. It is probable no parent child exemption as available for a corporate transfer. The penalties now for failure to file have drastically increased. I do not know without research what the rules were then or how the penalties were ( and are) enforced.

You really need to engage capable counsel to advise you. By the way, is the corporation an S corporation or a C corporation? It makes a huge difference.

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Answered on 7/28/14, 2:13 pm


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