House in Trust: When Does the Step-Up Occur?

When you put a house into a revocable living trust, you can get a step-up on a tax basis. If you're married and in a community property state like Washington, you get this benefit twice. When the first spouse dies, the house receives a step-up in basis to the current market value. When the surviving spouse dies, you get a second step-up in basis to the market value at that time. A revocable trust isn't its entity while the trustors are alive, so it uses their social security numbers for tax purposes, allowing for the step-up in basis at each death. If you need help, we'd love to discuss how you can protect your family, yourself, and your money. Getting started is easy. Get a free strategy session by clicking the link - https://cmslawfirm.com. Talk to you soon! #estateplanning #probate #trusts #realestate #inheritanceplanning #legaladvice #cmslawfirm #familyestate #willplanning #estatelaw