2 ms·This is just a tax deferral, you will still pay tax eventually.by mym1990 4y agoThis is just a tax deferral, you will still pay tax eventually.amluto 4y agoNot necessarily. You can hold on to it until you or your spouse dies, which will reset the tax basis.mym1990 4y agoCannot find where spouse dying resets the tax liability. If the outright owner passes away, that makes sense.