California Proposition 193 allows real property transfers, from parent to grandchild, to be excluded from reassessment.
When I inherit some property from my grandparent’s, I’d like to take advantage of Prop 193 for low property taxes. But I’m worried that if I sell the property, my capital gains tax will be based on the lower assessed value of the property. Or is capital gains tax based on the value of the property at the date of grandparent’s death?
I’d appreciate it if anyone knows what tax basis is used for a prop 193 property.
Thanks,
Jeff