But once they give it to you, you inherit their cost basis and have a taxable gain.

Step up in basis to reduce your heirs' taxes and morePlus the real estate tax "deferral" can end up being permanent if played correctly

Tax impacts include deferred gains, adjusted cost basis affecting future depreciation, and strict adherence to IRS timelines.

Last but not least....A few members in replies have already mentioned why it makes sense to hold…….I very much appreciate ALL FEEDBACK, however I think it will be helpful to provide some added context as to why I am absolutely certain (and my CPA’s are convinced as well) on my decision to liquidate the entire portfolio and onceAs I educate clients on daily, income tax brackets as well as long term capital gain tax brackets in our country are more favorable right now than they've been at any point in the past 80 years.

A PMC is the ONLY one that will deal daily with your property.Here's some copy & paste advice on hwo to screen PMCs:Recommend exploring as many sources as possible to get referrals AND cross-reference them to get as much accurate information as possible.Check out NARPM.com, BP’s Property Manager Finder (BiggerPockets: The Real Estate Investing Social Network), etc.Also, encourage you to learn from the mistakes of others - by reading posts here on BiggerPockets about owners not having their expectations met by their current Property Management Company.

On a worldwide basis, the US is considered a business haven where many can hide their identities.

The costs are taken from the model and applied on a percentage basis.

But there is no black and white guidance that I could find.And, in conclusion...1st conclusion: no FICA until the child's 18th birthday.2nd conclusion: tax law is muddy (I would add two capital letters, but it's a family-friendly forum)3rd conclusion: pay your CPA, we have to deal with it daily, and it takes skill

There are accountants who say that applies to the opportunity to discount sale and/or basis shift to further lower the tax bill.  

For my short term rentals I am really going to focus on adding improvements that will increase my daily rate and guest experience.