I am transferring a residential property (located in Chicago) from Individual A to an LLC in which Individual A is a 50/50 owner with Individual B. Individual A is not receiving any consideration for this transfer. Individuals A and B both contributed equal money to the initial purchase of the property yet Individual A was the only person that was put on title due to privacy concerns of Individual B. I am wondering if this qualifies as an exempt transfer because the consideration, which in this case is $0, is below the applicable threshold or if given the facts of this situation, transfer taxes will be due. Thank you for your help.
1 Answer from Attorneys
Based on your information, the transfer would be a gift, and therefore exempt. You will still need a Chicago water cert, possibly a zoning cert, and a statement by grantor and grantee, as well as a completed MyDec (on line) showing it is exempt. If you're not sure how to do this, it is worthwhile having an attorney involved.