“Inheriting a home is usually better than receiving it while alive”

Every year, thousands of parents see how their children have difficulties accessing housing, while they have a second residencean empty apartment or some savings that could help them with. How could they help their children without the tax bill skyrocketing? Aitor Fernandez and Alina Dragostax advisors TaxDownhave been solving these doubts for Spanish families for years. His advice, after reviewing hundreds of real cases in his office, leaves no room for doubt: “Inheriting a home is usually better than receiving it while alive.” The “surplus value of the dead”. The main argument of tax advisors is that when someone dies and their house passes to their heirs, the capital gain that the property has carried since it was purchased suddenly disappears for the Treasury. This is what is known as the “dead man’s capital gains“. That difference between the original purchase price and the current value of the property is excluded from taxation by law. Obviously, the deceased does not have to declare this increase in assets as would happen if he or she sold or donated the same property while alive. Since the heirs barely pay Inheritance tax Because they are subsidized between parents and children, this revaluation is almost tax-free. The donation generates personal income tax for the parents. With the donation of that same property during life, the tax landscape changes completely. The property comes out of the parents’ estate and, for all purposes, the Treasury treats it as if it had been sold. If the home is worth more today than when it was purchased, you must declare that difference in your income tax return. And that quote is unavoidable even when, being a donation, nothing has been charged in exchange. As Dragos highlighted: “The donation of housing is always more burdensome than the donation of money. Many times it is an apartment bought decades ago and the parents do not bear the (fiscal) bill that arrives later.” Donate while you are alive: it depends. Despite everything, donating doesn’t always go wrong. Tax experts assure that “if the donation is cash, the father can save on personal income tax.” Communities like Madrid exempt up to 250,000 euros when the purpose of the donation is to buy the child’s habitual residence. Extremadura has a similar advantage for average income. Both Fernández and Dragos emphasize that the donation route also compensates when the parents themselves are over 65 years of age and donate their home to their children. The law exempts the gain in the transfer of assets of that home from that age onwards. Of course, everything must be documented before a notary and with notification to the Treasury, even if the settlement is zero euros. Fernández remembers that the most expensive mistake continues to be “not documenting” anything. Treasury monitors especially closely the hidden donations. In Xataka | There is a less painful solution so that an inheritance does not become a ruin for the heirs: renounce it Image | Unsplash (Jakub Zerdzicki)

Inheriting shoes seems like a great idea to save. Biomechanics and podiatrists are very clear that it is a mistake

In many families it is quite common to see how the older brother or sister grows and leaves some sneakers or boots that look practically new without being able to use them. Here the logic indicates that they can pass it on to the younger brother so that they can take advantage of the money that has been spent and not throw away something that a priori is completely functional. However, what on paper seems like an impeccable financial decision collides head-on with children’s biomechanics and podiatric health. A custom mold. The key to the problem is not in the exterior appearance of the shoe, but in its interior and in the sole. As explained Podiatrist Rebeca Prieto Riaño in a recent article in eldiario.es, an already worn shoe tends to be “molded” to the gait pattern of the first child. Here you have to understand that each person has a unique way of walking and distributing weight. With continued use, the shoe suffers from specific wear zones that end up acting like small invisible wedges, and when a second child puts on that shoe, their foot is forced to adapt to a shape and inclinations that are not their own. It’s a problem. This can significantly alter your stride, favoring everything from biomechanical problems to tendon and muscle injuries, as well as classic blisters or chafing due to inadequate support. It is a recommendation. Although there are no clinical trials today, direct evidence comes, above all, from clinical guidelines and the consensus of specialists like the document Children’s Footwear Advice of the Suffolk Podiatry Paediatrics. But we do have different biomechanical studies that show that footwear modifies the parameters of children’s gait, including speed, step length, ankle and knee ranges of motion, and impact pattern. The biomechanics. Specifically, we see it in a meta-analysis published in 2011 that already concluded that shoes irremediably affect children’s gait. Added to this are more recent experimental works, such as a study published in Gait & Posture in 2023, which demonstrate how asymmetric shoe heights induce reactive changes in gait kinematics and muscle activation. It goes further. In addition to the mechanics of gait, there is a dermatological factor to take into account, since pediatric podiatry guides advise against second-hand footwear due to the risk of infections. Sharing closed shoes that have accumulated sweat and humidity greatly facilitates the transmission of skin pathogens, especially dermatophytes, which are the fungi that cause athlete’s foot. The cotton test. Does this mean we should automatically throw away any shoe our oldest child outgrows? Not necessarily, since experts in children’s orthopedics and podiatry establish footwear that has had residual use as an exception. For example, shoes for a wedding that were worn one afternoon, or wellies that the child wore three times before his foot grew, can be inherited. The essential condition is that there are no signs of adaptation to the previous step. In Xataka | Walking almost barefoot is the new wellness trend: this is how barefoot has arrived everywhere

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