[SadLady76]

I am joint owner of a property with my mother. My mother passed away. The money is now mine due to the joint ownership.
What are the guidelines of joint ownership and estate taxes?
The reason I was put as joint owner was to prevent cohersion from other children for the money. Now, the money must be divided between all children. Does this go to estate probate or what happens now. Are taxes due? Need advice.

[ScottGem]

If you jointly owned a property the property went to you outside any estate so you don't need to probate it. Did you sell the property yet? Otherwise what money are you talking about?

[SadLady76]

I just found out from an attorney that the joint ownership makes anything that is held as joint ownership (property money) goes to me regardless of a will. That doesn't change the legality of the joint ownership. However; there will be a gift tax after a 12000 dollar deduction that is allowed for a year. Real estate property may have to also meet the capital gains issue depending on the value and what the value was when she bought the property. Geez.
Money in a bank account, doesn't take in effect until the money is withdrawn from the account, it too will have a gift tax. Apparently there is a formula of 1/2 of the value minus 12000 plus a 18-55% gift tax. The donor will also have to pay a gift tax on the items from the date of the transfer of ownership done with the joint ownership. There is again a formula of 1/2 value-12000 yearly times the % rate.
Geez.
The other half will go to estate probate.

Please advise if this is incorrect. Thanks for answering so soon. I appreciate.

[ScottGem]

I'm not so sure about all the gifts. If you were added to the property as joint owner without offering compensation then that ownership would be a gift. But its possible that could be spread out over years with no gift tax liability.

The rest of it sounds right.

[SadLady76]

Yes, your answer helped a lot. Gave me a way to ask questions since I did not know anything... not even what to ask.

I appreciate it. My next step is to go back and ask about the spread out over the years.
I was getting a little bit hysterical about all this.

Thanks again