topic Capital gains tax on gifted property in Get your taxes done using TurboTax

Capital gains tax on gifted property

tax102523 — Tue, 24 Feb 2026 07:34:46 GMT

Could a person be responsible for paying capital gains tax on a California house if they are gifted that house from their parents? Thank you!

Re: Capital gains tax on gifted property

lramkumar — Wed, 25 Oct 2023 19:14:33 GMT

Hello vgtax !

You don't pay taxes on the gifted property when you receive it. When you sell the gifted property, you will pay capital gains on the gain both federally and in State.

Hope that clarifies your question!

Thank you

Re: Capital gains tax on gifted property

Anonymous_ — Wed, 25 Oct 2023 19:15:24 GMT

The child would not be liable for capital gains tax on a gift from a parent until such time as the child sold the house to an unrelated third party.