Who has a better name for buying a house in America?

American immigrants buy houses, and many people buy houses overseas for their children. Buying in the name of husband and wife or children, or buying together, will involve very different taxes and complexity. Let's analyze whose name is better when you buy a house in America.

Who has a better name for American real estate?

Before deciding whose name to write in the real estate, we should first consider three aspects, namely, asset protection, tax relief and smooth inheritance.

Asset protection: Asset protection is particularly important for some high-risk occupations and people who consider the risk of their children's marriage. For example, if you are a doctor, someone has sued you for some reason, or your marriage has changed.

Tax deduction: Different property names have different tax problems. In terms of real estate investment, we should consider income tax, capital gains tax and property tax. Under the premise of complying with the provisions of the tax law, reasonable tax reduction is what every investor must pursue.

Successful inheritance: real estate investment takes the real estate portfolio as a tool and makes use of time to get rich. Therefore, whether the inheritance of real estate will generate additional tax problems and other costs in the future is a problem that needs to be considered.

Buy in one's own name

When the United States buys a house, it is bought under the name of an individual, and the ownership is personal.

Many people will choose this way. Because of its simplicity and low cost, the advantage of this method is that you will have stronger control over the property. But at the same time, because the ownership is your own, if you personally encounter any lawsuit, such as a tenant being injured in your house and suing you, or your occupation leads to you being sued, such as a doctor, all other properties under your name will be exposed to this lawsuit and bear joint liability.

If the property is purchased in the name of an individual, then the control right also belongs to the individual, and you can decide on the sale, lease and other matters of this house by yourself. But when you pass the ownership to your children, it will also involve inheritance tax and so on.

Joint purchase

There are two forms of joint tenancy, one is joint tenancy and the other is joint tenancy.

The biggest difference between the two is that after the death of one party to the joint venture, the property rights will be automatically transferred to the other party; The general * * * is not, when one party dies, the property right is transferred to the family of the deceased. So generally speaking, the relationship between husband and wife or family members will use common * * *, while non-husband and wife partners will use general * * *.

The assets under the joint name are in the names of two (or several) different people, so the assets are also owned by these individuals. If an individual encounters legal problems, it can be traced back to this property, and there is no asset protection. The proportion of property rights indicates the number of ownership, the exercise and distribution of ownership are carried out according to this proportion, and the income is also distributed according to the proportion of ownership.

Buy in the name of the company

Many people buy houses in the name of companies, even former US President Barack Obama is no exception. After leaving the presidency, Obama bought the villa he rented before. His wife's name and his mother's name were not written on the property certificate, and he used a company he controlled as the owner. This is one of the many tax-saving measures he can take.

The assets under the name of the company are controlled by the company, and the company is controlled by directors (shareholders) or investment partners. However, once the real estate is placed in the company's name, the house bought in the company's name belongs to the company, and all the proceeds of the house also belong to the company. Because the company is generally a limited liability company, the assets under the company name are protected to some extent. That is to say, if there is a lawsuit or other problems in the property or business below the company, it can only investigate the assets within the company at most, and it will not exceed the scope of the company.

The succession of the company needs to fill in a form to declare the change of shareholders and directors. As the company is a legal tax entity with its own tax rate, the profit and loss of the house also belongs to the profit and loss of the company. Net rental income and capital appreciation income of houses are taxed at the enterprise income tax rate.

Family trust

Remember the legendary woman Wendi Deng? Then you won't forget her marriage to media tycoon Murdoch. When they divorced, the whole world speculated that this time Wendi Deng would take at least half of Murdoch's property. Surprisingly, however, Murdoch used two properties to "fire" Deng Wendi and made his two daughters the beneficiaries of an $8.7 million fund. After the divorce, he still has a net worth of $65.438+$0.39 billion.

Trust is a commercial tool commonly used by the rich in America, and family trust is a common family form. The ownership of assets purchased under the trust does not belong to individuals or companies, but only to the trust itself. However, the trust itself is not a commercial entity, not a legal business entity, and will not accept any legal proceedings, so the assets inside will be well protected. The whole operation and distribution of trust is controlled by the trust management controller, so the purpose of inheritance can be achieved by replacing the controller.

The income from the assets in the trust belongs to the trust itself. Although the trust needs to file tax returns, it is not a tax subject and has no tax rate. The income from the trust is only temporary and will be distributed to the beneficiaries of the trust at the end of the year. However, after the beneficiaries get the income from the trust, they need to pay taxes together according to the method of personal income tax. Trust is a good tax avoidance tool for people who have a lot of trust real estate and commercial assets.

Trust is a typical commercial form of decentralization. It is of great benefit to asset protection and high-yield reasonable tax avoidance. Since the real estate is actually written on the name of the trust controller, if the trust controller is an individual, inheritance will cause expenses and troubles.

If parents want to give their children real estate, they must take a long view. Generally speaking, because everyone's investment in real estate is different, it still needs to be carefully considered according to personal circumstances. If the real estate value is less than $654.38+0 million, inheritance is the most time-saving and labor-saving way to achieve the best tax-saving effect. However, if the real estate value is higher than $654.38+million, it is recommended to adopt the trust method.