Laws, Regulations & Annotations
Property Taxes Law Guide – Revision 2013
Property Tax Annotations
200.0000 BASE YEAR VALUE TRANSFER
(a) BASE YEAR VALUE TRANSFER – PRINCIPAL RESIDENCE
200.0125 Sale. Revenue and Taxation Code section 69.5(g)(8) defines "sale" as "any change in ownership of the original property for consideration." If a husband and wife own equal interests in an original property and "sell" it to their wholly-owned limited liability company in which they have equal interests, the property will be excluded from change in ownership under Revenue and Taxation Code section 62(a)(2). Thus, the property will not qualify for a base year value transfer under section 69.5, which requires the original property to be reappraised upon the sale. However, if the same husband and wife "sell" their original property to a limited liability company in which they and a third party have interests, the property will not be excluded from change in ownership under section 62(a)(2) or any other provision. Under those circumstances, the home will qualify for a base year value transfer under section 69.5, since the original property will be reappraised upon the "sale." C 12/31/2002.