Certain changes in ownership can be excluded from a tax reassessment. Some exclusions require the filing of an affirmative claim while others are automatically excluded as a matter of law. See below for examples of ownership changes that can be excluded from reassessment via the filing of a particular claim as well as those that are automatically excluded.
Changes in Ownership That Require a Claim to Be Filed to Avoid Reassessment
- Proposition 58 Claims – Transfers between Parent and Child before February 16, 2021
- Proposition 193 Claims – Transfers from Grandparent to Grandchild before February 16, 2021
- Proposition 19 Claims – Intergenerational Transfers after February 16, 2021 & Base Year Value transfers after April 1, 2021
- Co-Tenant Residency Exclusions – Exclusions for Specific Transfers Between Co-owners
- Propositions 60, 90, 110 Claims – Base Year Value Transfers before April 1, 2021
- Proposition 68 Claims – Eminent Domain Base Year Value Transfers
See our forms page for access to the above-mentioned exclusion claim forms.
Changes in Ownership That Are Automatically Excluded from Reassessment
- Transfers of real property between spouses, including transfers to a trustee for the beneficial use of a spouse, or the surviving spouse of a deceased transferor. Also, transfers which take effect upon the death of a spouse and transfers to a spouse or former spouse in connection with a property settlement agreement or decree of dissolution of marriage or legal separation.
- Transfers between registered domestic partners that occur on or after January 1, 2006.
- Transfers between co-owners that results in a change in the method of holding title to the real property, without the change of ownership percentages.
- Transfers between an individual or individuals and a legal entity or between legal entities, such as a co-tenancy to a partnership, a partnership to a corporation, or a trust to a co-tenancy, that result solely in a change in the method of holding title to the real property and in which proportional ownership interests of the transferors and transferees, whether represented by stock, partnership interest, or otherwise, in each and every piece of real property transferred, remain the same after the transfer.
- Any transfer for the purpose of perfecting title, including correcting names.
- The creation, assignment, termination of a security interest or the substitution of a trustee under a security instrument or any transfer done solely for financing purposes. Evidence of status may be required.
- Transfers into trust where the transferor is the present beneficiary of the trust.
- Transfers that reserve to the transferor an estate for years or a life state.
- The creation or transfer of a joint tenancy interest if the transferor, after the creation or transfer, remains as one of the joint tenants.
- Any transfer of a lessor’s interest in taxable real property subject to a lease with a remaining term (including renewal options) of 35 years or more.