Question: Mom gifted her home to my sister several years ago. Is there any way that this gift can be reversed so that Mom can be approved for Medicaid benefits?
Answer: Many states allow a reduction of a transfer penalty by returning some of the transferred property. All states will eliminate a transfer penalty with return of 100% of the transferred assets. So, yes the penalty can be eliminated with return of the home. Whether you should do this or not requires a calculation dependent on when the gift was made as well as several other factors.
Stephen J. Bailey, Esq.
Birmingham, Alabama
Reversing a Gift in Order to Qualify for Medicaid Benefits was last modified: May 7th, 2018 by