Section Rev 802.02 - Revocable Trusts of Real Property(a) Transfers to or from a revocable trust shall be classified as a contractual transfer as defined by RSA 78-B:1-a,II.(b) The measure of tax upon such transfer shall be the actual price or consideration as provided by RSA 78-B:1,I(b).(c) In determining the amount of the actual price or consideration for the transfer of real estate to or from a revocable trust, the department shall not presume that the price or consideration is the fair market value of the property transferred as authorized by RSA 78-B:9,III, where both of the following criteria apply to the trust and one of the requirements described in Rev 802.02(d) below is satisfied: (1) The beneficial interest in the trust is not represented by transferable shares; and(2) The trust is created and funded for estate planning purposes as a testamentary substitute.(d) The department shall not presume the price or consideration to be fair market value of the property transferred for transfers under Rev 802.02(c) that are transferred: (1) Between a trust and grantor of the trust;(2) From a trust to the beneficiaries of the trust upon the death of the grantor of the trust;(3) From the trust to a beneficiary who is the natural object of the grantor's bounty; or(4) From a trustee to a successor trustee of the same trust.(e) This section shall apply to transfers to and from a revocable and irrevocable trust as in the following examples: (1) Grantor transfers vacation home with a fair market value of $1 million into Revocable Trust for estate planning purposes. The beneficiaries of the trust are Son and Daughter. Son and Daughter's beneficial interests in Revocable Trust are not transferable as defined in Rev 801.02. The transfer of vacation home into Revocable Trust shall be deemed a contractual transfer pursuant to Rev 802.02(a). However, the price or consideration for the transfer shall be $0 pursuant to Rev 802.02(b) and (c). As a result, Grantor shall be subject to the minimum transfer tax pursuant to RSA 78-B:1, I (b); and(2) Grantor transfers vacation home with a fair market value of $1 million into Irrevocable Trust. No consideration is exchanged. The beneficiaries of the trust are Son and Daughter. The transfer of vacation home into Irrevocable Trust shall be a non-contractual transfer pursuant to RSA 78-B:1-a, III and shall not be subject to the transfer tax in accordance with RSA 78-B:1-a, III.N.H. Admin. Code § Rev 802.02
#1169, eff 5-23-78; ss by #2154, eff 10-11-82; ss by #2452, eff 8-23-83; ss by #2822, eff 8-17-84; ss by #3102, eff 8-20-85; amd by #4704, eff 11-21-89; ss by #4916, eff 8-21-90; ss by #5300, eff 12-26-91; ss and moved by #6691, eff 2-21-98 (formerly Rev 802.10), EXPIRED: 2-21-06
New. #8579, eff 3-8-06
Amended byVolume XXXIV Number 41, Filed October 9, 2014, Proposed by #10665, Effective 9/9/2014, Expires9/9/2024.Amended by Volume XXXV Number 32, Filed August 13, 2015 , Proposed by #10882, Effective 7/11/2015, Expires7/11/2025.