First question: Will I have to pay long term capital gains taxes, since I did not have a choice in the liquidation of assets until now because the assets were tied up in a life estate to my stepfather until he either passed away or vacated the property, which he is now doing on 9/9/2022?
yes
Second Question: Are Zillow estimates valid for determining the cost basis, are if audited do you require a documented appraisal which would cost me $500?
see this thread that comments on Zillow valuations or do your own web search. personally, i've looked at Z-valuations of property on my block and across the street. they are almost all identical while I know that some of the houses have made substantial improvements and when some were put on the market the asking price was nowhere near Z's estimate. I would spend the $500 but it's up to you
https://www.maxrealestateexposure.com/are-zillows-home-value-estimates-accurate/#:~:text=Assessed%20...
Last Question: My primary residence is in MD? If I do have to pay long term capital gains taxes, will I have to pay federal, Maryland, and Florida taxes on the capital gains?
Florida has no personal income tax
