Live in US while having joint tenantcy on house w/ mom in Canada

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macattack
Posts: 1
Joined: Wed Oct 28, 2020 7:47 pm

Live in US while having joint tenantcy on house w/ mom in Canada

Post by macattack »

Due to my mothers financial situation and recent separation, I needed to cosign the mortgage for her to stay in her house. We are now at the stage of finalizing the papers and was wondering what would be most tax optimal. I would prefer for all the cap gains on the house to stay with her due to the canadian primary residence exemption and the fact I don't live there anyway and wont pay for the down payment or the new mortgage.

1. Be 50/50 joint tenants and have the right of suriviorship to avoid probate fees & complications in the future.
2. Be a minimum owner of %1 to avoid taxes if / when I fully gift my share of the house to her in a sale.

I have a green card and plan to stay in the USA indefinitely.

Would there be tax consequences for me to gift my share of the house to my mother during a sale transaction in the US and/or Canada?

Thanks!

(note: I tried searching for tenancy, joint tenancy, etc before asking, would appreciate a link or search term ideas if this has been asked before)
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