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Can a property held in trust be subject to lien by the?

Can a property held in trust be subject to lien by the?

Property Tax. Putting real estate into a living trust or irrevocable trust doesn’t affect the property taxes in any way, shape or form. The property tax bill has to be paid, whether your trust or you is the owner. If it isn’t paid, the county can place a property-tax lien on the property, and any other property owned by the same taxpayer.

How does a probate avoidance living trust work?

When you set up a typical probate-avoidance revocable living trust, you name yourself as the trustee. That lets you keep complete control over the assets you transfer to the trust. You can put property in the trust, take it out, sell it, or give it away at any time, with no restrictions.

Can a judgment affect a revocable living trust?

The answer is a resounding NO! A revocable living trust has several advantages, but it offers absolutely nothing in the way of asset protection. Here’s why: A creditor, judgment holder or even your ex-spouse can grab property owned by your revocable living trust because the trust is not necessarily permanent.

Can a living trust protect assets from creditors?

Probably not. It’s true that some trusts can protect your family’s assets from creditors and claimants. But the garden-variety revocable living trust, commonly used in estate planning, isn’t of any use if you’re seeking to protect assets.

Can a judgment lien be placed against a living trust?

If there is a mechanic’s lien on property before it is placed in the trust, the lien continues in effect after it is placed in the trust. This is a lien to secure payment of a court judgment. Whether a judgment lien can be placed on an asset in a living trust depends upon whether the judgment is against a grantor or a beneficiary.

The answer is a resounding NO! A revocable living trust has several advantages, but it offers absolutely nothing in the way of asset protection. Here’s why: A creditor, judgment holder or even your ex-spouse can grab property owned by your revocable living trust because the trust is not necessarily permanent.

Probably not. It’s true that some trusts can protect your family’s assets from creditors and claimants. But the garden-variety revocable living trust, commonly used in estate planning, isn’t of any use if you’re seeking to protect assets.

Can a house held in trust be subject to a tax lien?

As a result, the Internal Revenue Service and state income-tax collectors treat your assets the same whether they’re in the trust or not. Putting a house in trust offers no protection against tax liens on the property.