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Inherited home

I sold my moms home last year that I inherited after her death.  I did not receive a 1099 on the sale.  Do you need to file taxes on the sale of an inherited home

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1 Reply
RobertB4444
Employee Tax Expert

Inherited home

Yes.  You need to report the sale as income on your personal tax return.

 

If you scroll down in the wages and income section of your federal return you will get to a section labeled "Less Common Income".  In that section you will find "Sold a Home" and click the start button next to that.  

 

In order to enter the sale you will need the date that you sold the home as well as the amount that you were paid.  You will also need the 'basis' in the home which is usually the amount that you paid for it.  In your case, however, because you inherited the home your 'basis' is the value of the home on the day that your mother died.  

 

There are several ways to figure this value out - if your mother had an estate they may have valued the house, there is a value on the tax rolls for whoever is charging property tax, you can consult a local realtor about other properties similar to your mother's that sold around the time that she died.  Or, if you sold the property within six months of her death, you can just use the sale price as the value.

 

The only other piece of information that you need is the date of purchase.  For you that is your mother's date of death.

 

Good luck!  Sorry for your loss.

 

@Kkgarner43 

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