@Mimi1944 wrote:
We live in Maryland. I've heard of Lady Bird deed, but not sure if that is accepted in Maryland.
They are not valid in Maryland. Lady Bird (Enhanced Life Estate) deeds are valid in Florida, Texas, Vermont, West Virginia, and Michigan.
@Mimi1944 wrote:
So, does that mean we should have filed Form 709 3 years ago.......?
Yes, a Form 709 should have been filed when the remainder interest was granted.
@Mimi1944 wrote:
Also, when my children take the property at a "basis stepped up to fair market value on the date of the last of you two to die," that's a good situation, right?
Yes, that is generally be a "good situation" as opposed to taking the property with your cost basis (which would almost certainly be much lower, meaning they would be subject to more capital gains tax when they sell).
