DaveF1006
Expert Alumni

Get your taxes done using TurboTax

 After researching this more in depth, the tax that was charged on the basis of the house was an inheritance tax and not a foreign income tax based on the sale.  If this was the case, you cannot claim a foreign tax credit or deduction for inheritance tax. 

 

The key caveat here is that the Foreign country did not tax on INCOME but on INHERITANCE. If they would have taxed on income, they would have taxed on the proceeds and not the basis.

 

My apologies for the advice I gave you earlier. 

 

 

[ Edited 02/17/2026 I 7;00am PST]

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"