@Opus 17 wrote:
@Anonymous_
any thoughts?
I really do not have much to add, and cannot, without examining the terms of the trust itself.
However, if the trust could be considered a grantor trust (even after the passing of the original grantor), then the trust is disregarded for federal income tax purposes and, per Reg Section 1.121-1(c)(3)(i), the home sale exclusion would apply.
As has already been mentioned, a local attorney, who can examine the trust itself, should be engaged (and obviously one who is proficient in handling these matters).
