Mother-in-law was suffering from dementia and was in a locked Alzheimer's unit. Her house, fully paid for, was put into the name of her 3 sons prior to her death as joint owners as she was incapable of handling any personal care or business transactions. Since her death in 2019, the property has been sold and net proceeds split 3 ways between the three sons. The proceeds will have a 1099 from the real estate company for each son. How should the money from the sale be reported -- normal income (fully taxable), or are the funds still considered a part of the mother-in-law's estate?
