California Property Tax Rules and Planning Strategies

John P. Hannon, III | Murtaugh LLP

John P. Hannon, III is an attorney with Murtaugh LLP who guides individuals and families through estate planning, tax planning, and trust administration. His practice spans straightforward and highly complex trust and estate administrations, and that administration background shapes the guidance he provides on the planning side, producing plans that are efficient to carry out and built to hold up over time. He advises clients on tax structures designed to preserve generational wealth and pays particular attention to how estate planning choices can strengthen or strain family dynamics.

• Education & Credentials

John earned his Bachelor of Science in Biochemistry and Molecular Biology from the University of California, Santa Barbara, his Juris Doctor from the Colleges of Law, and his LL.M. in Taxation from Loyola Law School. He has been licensed to practice law in California since 2016.

• Recognition & Leadership

John graduated from law school as the salutatorian of his class and completed his undergraduate degree with high honors. He has also served on the Board of Directors of Because of Hope, an organization dedicated to empowering widows and children in Uganda.

• Professional Involvement

John is a member of the Orange County Bar Association, where he participates in the Trusts and Estates and Taxation sections, and of the California Lawyers Association, where his membership likewise includes the Trusts and Estates and Taxation sections.

• Experience

John concentrates his practice on trust and estate administration and the planning that anticipates it, handling matters that range from simple estates to sophisticated multigenerational structures. Earlier in his career, he practiced with Ambrecht & McDermott, LLP in Santa Barbara, where he focused on estate planning, probate, trust administration, and conservatorship matters, working directly with clients to create estate plans and administer trusts.

SESSION 1 – Proposition 13 Fundamentals and The Reassessment Framework | 12:00pm – 12:12pm

This opening segment grounds attendees in Proposition 13, explaining how assessed values are set, when a change in ownership occurs, and how the reassessment framework operates across common real property transactions.

SESSION 2 – Trusts, Life Estates, Estates for Years, and Leases | 12:12pm – 12:24pm

A close look at how transfers involving trusts, life estates, estates for years, and lease arrangements are treated for property tax purposes, including which structures keep an existing assessed value intact.

SESSION 3 – Proposition 19: The Parent-Child Exclusion Overhaul and Planning Implications | 12:24pm – 12:36pm

An examination of Proposition 19’s overhaul of the parent-child exclusion, what remains available after the change, and the implications families and their advisors must weigh before transferring California real property.

SESSION 4 – Legal Entities: Change of Control, Change of Original Co-Owner, and The Proportional Interest Transfer Exclusion | 12:36pm – 12:48pm

Coverage of entity ownership rules, including change of control, change of original co-owner, and the proportional interest transfer exclusion, with guidance on structuring transactions that avoid unintended consequences.

SESSION 5 – Joint Tenancy and The Original Transferor Exclusion | 12:48pm – 1:00pm

This portion unpacks joint tenancy transfers and the original transferor exclusion, showing when creating or severing a joint tenancy alters the treatment of jointly held property.

BREAK | 1:00pm – 1:10pm

SESSION 6 – Reporting Requirements and Deadlines for Individuals, Trusts, and Entities | 1:10pm – 1:20pm

A walkthrough of filing obligations for individuals, trusts, and legal entities, identifying the forms, timelines, and disclosure duties that follow a change in ownership or control.

SESSION 7 – Estate Planning Strategies for Preserving Low Assessed Values | 1:20pm – 1:30pm

Strategies for preserving low assessed values within an estate plan, matching vehicles to family goals so wealth passes to the next generation without sacrificing favorable valuations.

SESSION 8 – The Step Transaction Doctrine and Practical Planning Tips | 1:30pm – 1:40pm

The closing discussion covers the step transaction doctrine, why multi-step arrangements may be viewed as a single transfer, and practical tips for sequencing transactions so careful work does not unravel.