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Get your taxes done using TurboTax
Cash distributions from an estate are not taxed on your federal or state income tax returns (the estate pays tax on those assets, if it exceeds a certain dollar amount).
If you received stocks or other assets from the estate, these are not taxed to you either. The cost basis you have in those assets if you sell them is the fair market value of those assets as valued by the estate on the date of his death.
I'll assume you were not the beneficiary of a taxable IRA. That gets a little more complicated, but those proceeds would be taxed at some point in the future when you receive the payments and you would receive a Form 1099-R.
If you received stocks or other assets from the estate, these are not taxed to you either. The cost basis you have in those assets if you sell them is the fair market value of those assets as valued by the estate on the date of his death.
I'll assume you were not the beneficiary of a taxable IRA. That gets a little more complicated, but those proceeds would be taxed at some point in the future when you receive the payments and you would receive a Form 1099-R.
‎June 1, 2019
8:33 AM