Get your taxes done using TurboTax

Assuming you use TurboTax, here is a link to how to enter the sale:

You will report your portion of the sale of the property in the investment income section of TurboTax.  

For inherited property, the holding period will always be "long term," and your cost basis will be the value of the property on the date of death of the original owner (unless the estate elected an alternate valuation date, but this is not common). 

Here are the steps to enter the transaction into TurboTax:

1. Click on Wages & Income.
2. Click on Show more beside Investment Income
3. Click on Start (or revisit) beside Stocks, Mutual Funds, Bonds, Other.
4. Click on Add Sales.
5. Answer No for "Did or will you receive a 1099-B...?"
6. Follow the prompts to enter the sale.  For the type of investment, select "second home" to get the most appropriate questions and categories for your sale.  

If you are using a tax preparer, you would need to provide them with documentation of the FMV, so if you are getting it from Zillow, you would need to print that and provide that to them.  You would want to print it either way, and keep it with your 2022 tax information.