I am helping my grandmother and mother with some tax planning. My grandmother purchased a property many years (30 - 40) for her daughter (my mother) and this was seen as an investment property since it was not her home. Several times since then, a 1031 exchange was conducted and my mother was later added as a 1% owner of one of the properties. My grandmother wants to gift the property 100% to her daughter so she does not have to keep up with all the house stuff any longer as she is in her 80s. I am trying to see what the tax implications are to my grandmother or mother. My mother is single and the current property has a value of about $350,000 with about a $200,000 mortgage. Roughly $150,000 was transferred to the current property last year and the basis is around $20,000. Thanks!
