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In 1999, I sold my residence to a buyer who assumed my mortgage, but my name remained on the mortgage document. The lender foreclosed on the property to pay the mortgage. Am I responsible for the gain on the sale?
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From the sketchy facts provided, the answer would seem to be no. You do not owe taxes on any gain provided you reported your sale in 1999 as a fully taxable event.
| See Also:
The Tax Prophet's Tax Class on Residences
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My mother's property will go to me upon her death. Is it better to become joint tenants now or receive the property via her will?
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The federal estate tax consequences are the same and joint tenancy avoids probate. Also, the federal income tax consequences should be the same whether you receive property under a joint tenancy or though probate; namely, you receive a basis step-up in the property to the fair market value at your mother's date of death, thus eliminating any capital gain on the appreciation of the property during your mother's lifetime.
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If I received a gift of stock from my Grandfather who bought the stock at $35/share and gifted it to me with a present market value of $25/share is my cost basis $35 or $25.
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Your basis is the lower of your grandfather's basis or the fair market value - in this case, $25. You do not get the benefit of the loss. A better scheme would be for your grandfather to sell the security, recognize the loss, and then gift you the proceeds.
| See Also:
The Tax Prophet's Section on Gifts
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This year we are selling a residence for $682,000 and purchasing another for $320,000. The original price of our residence was $38,000. What is my gain?
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Whether you purchase another residence or not is irrelevant. Your gain is the difference between the adjusted basis in your residence and the amount realized. Remember, improvements are added to your adjusted basis. In your example, minus any improvements, your gain is $644,000.
| See Also:
The Tax Prophet's Tax Class on Residences
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A father creates a living trust and dies. The trust becomes irrevocable and splits in two, with a son and daughter as trustee/beneficiaries of each respective trust. Distributions are made under ascertainable standards. Are the trusts considered "grantor" trusts, in which case the income retained by the trust is taxable to the beneficiaries, rather than to the trusts?
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In general, the trusts would become irrevocable and as such, would not be grantor trusts even though the trustee/beneficiary has the right to distribute income or principal under ascertainable standards (health, education, maintenance, support).
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Secondary Liability and Mortgage Foreclosure 
