Legal Question in Wills and Trusts in California

I hate being so blunt, but no, they do not stay the same. They go up and up and up. Hence the Hearst Castle here in California. Eventually, the children had to sell the place to the State because the taxes were killing them. They go up.

If you are a child of the settlor of the trust or a grandchild and your parent who was a child of that grandparent is deceased, then you can claim an exclusion to having the real property reassessed for property tax purposes. This is only if the distribution is consistent with what the distribution terms are in the trust. For example, a portion of the real property will be reassessed if you "buy" out a sibling outside of the trust. Also, if there is a distribution to someone who is not a child or grandchild, then there is no claim exclusion allowed.

You must make the claim for exclusion timely or else the property will be reassessed.

Ms. Rouse is correct. Also, there is no exclusion for transfer to a grandchild unless the parent of the grandchild who was the transferor's child is deceased.

You only have a limited period of time in which to claim the parent child or grandparent child exclusion, however, so make sure the attorney assisting the successor trustee files the proper claim form on your behalf (our county makes us disclose the SS #s for beneficiaries).