If you are asking if the inheritance is income and needs to be reported on your federal 1040, the answer is no. Gifts are not income. https://www.law.cornell.edu/uscode/text/26/102
When the property is sold you will owe capital gains on the selling price - expenses of the sale - your basis.
For gifts from living donors, your their basis when the gift was made. (Unless they were underwater.)
Their basis is the price they paid to buy the property plus any improvements made over the years.
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