From ProPublica: “Here’s How Trump Transferred Wealth to His Son While Avoiding the Usual Taxes.”
Eric Trump bought the two condos on the two top floors of the Trump Parc East building at 100 Central Park South for $350,000 each. Trump Organization filings show that, as of February 2016 — two months before Trump sold the apartments to Eric — the condos were priced at $790,000 and $800,000. A similar one-bedroom condo on a lower floor at the same building sold for $690,000 in 2014.
The transactions illustrate the unique advantages that real estate developers like Trump have when passing down valuable assets between generations.
“Not everyone has the opportunity to avoid gift taxes, just developers with developer units,” said Beth Shapiro Kaufman, an estate planning attorney and president at Caplin & Drysdale in Washington, D.C. “The biggest game in gift taxes is valuation issues.”