Westmont, NJ Estate Planning Law Firms & Lawyers

First you have to look at the total value of the estate.  Estate tax is imposed on estates with a total value over $675,000.  You look at all of the assets in the estate and then deduct certain costs and expenses like funeral costs, attorney's fees, etc.  If the total amount remaining after the deductions is over $675,000 then you will pay tax.  If you become a joint owner of the house, then when you sell it you will pay capital gains tax on the difference between the sales price and the price your mother bought the house for in the 1980.  Balancing those two taxes out, I would say leave the house in mom's name and pay the estate tax - its less than you will pay in capital gains.  You will not pay inheritance taxes because you are Class A beneficiaries as children of the decedent.  

If the trustee of the trust is also the grantor, a revocable trust usually indicates that upon the death of the grantor/trustee, the assets held in the trust are distributed.  The grantor/trustee could direct that the assets are distributed to the estate, or to beneficiaries, or can remain in trust with the second trust taking over.  What happens is all dependent on the terms of the trust.

As your probate lawyer can advise you, any heir can apply to the court to administer an estate.  Renunciation of a "rigt to administration" by another heir is not necessary.