Suppose John and Jane are married and jointly own assets worth $100,000. In addition to the jointly-held assets, John owns a home which he purchased for $20,000 but has a current market value of $120,000. How much of the value of the house would be taxed, if Jane were to die today?

Question

Quizplus · Accepted Answer

In most jurisdictions, when one spouse dies, the surviving spouse typically inherits the deceased spouse's share of jointly owned property without it being subject to immediate taxation. Since the house is solely owned by John, it is not part of Jane's estate and thus not subject to taxation upon her death.

Suppose John and Jane Are Married and Jointly Own Assets