Ways to Save on your Taxes

Parent/Child Transfer Exclusion

This law (AB 47) excludes transfers of real property between parents and children from reappraisal. It only applies to transfers that have occurred since November 6, 1986. As introduced, the law contains the following provisions:

• Parent/Child Transfer Exclusion applies to qualifying transfers in both directions: from parents to children and from children to parents.
• For the purposes of this exclusion, children include natural, step, foster, in-law and adoptive relationships except those where individuals have been adopted as adults.

The following types of property may be excluded:

• A principal residence
• $1,000,000 of other real property

In order to qualify for the exclusion, the transferor(s) and the transferee(s) must supply this office with specific information in the form of an application. The application must be filed:

• within three years after the date of the transfer or purchase, or within three years prior to the transfer of the property to a third party, whichever is earlier, or
• within six months after the mailing date of a Notice of Supplemental Assessment or a Notice of Escaped Assessment pertaining to the property.

If you are interested in applying for this exclusion, please download the appropriate claim form below:

Download the Claim for Reassessment Exclusion for Transfer from Parent to Child. (PDF: 163 kB)

For more information, or for assistance completing and submitting the form, please visit our offices or contact us.