Penner

Joyce E. Penner appeals from a summary judgment granted to the County of Santa Barbara (County) in this action for a property tax refund. After Penner transferred real estate to a limited partnership wholly owned by herself and her adult children, the County issued a supplemental assessment increasing the property’s assessed value from $337,276 to $2.3 million She argues that the reassessment violates California Constition, article XIII A, section 2, subdivision (h) (hereafter, section 2(h)), which provides an exemption from reassessment for certain transfers of real property “. . . between parents and their children, as defined by the Legislature . . . .” The County argued, and the trial court ruled, that the transfer was not exempt because Penner transferred the property to a partnership and not directly to her children. We affirm.

Facts

In May 1990, Penner and her son Stephen formed a limited partnership, Estrella Del Mar, Ltd., for the purpose of developing a three-acre parcel of land owned by Penner. Stephen was the general partner. Penner and her other children were the limited partners.

The partnership agreement provided that Penner would contribute the…