Legal Question in Wills and Trusts in California

Re: Transfering real property into a Trust

You have to see if the trust allows gifts from others. If so, you can gust quitclaim the interest to the Trust and notify the IRS giving it the Trust Taxpayer ID No.

Re: Transfering real property into a Trust

What kind of trust is your Mom's Trust. If it was a revocable living trust, it probably became irrevocable when she died. Meaning that you probably cannot place property into it unless the trust allows you to specifically. Even if you do have that option, the gift to the trust would most likely be a gift from you to the trust... essentially I am saying that it is highly unlikely that you can undo your Mother's failure to fund the asset into the trust.

I also have no understanding of why you would want to place it into your Mom's Trust. If it was owned by your Mother, it probably stepped up in basis on the death of your Mother. Further, if it is generating income tax (which would be extremely uncommon for mineral rights, unless there was mining/drilling occuring), the income tax would generally be at a higher bracket inside an irrevocable trust then owned by an individual (whether or not that individual holds it in a revocable trust).

You really need to seek legal counsel on this issue that can review the whole situation. Further, i would encourage you to look to someone who also practices tax law, as it sounds like you have tax concerns (and possible confusion).

Re: Transfering real property into a Trust

Does her trust allow you to convey assets into it from another separate trust?