Hello. My Father passed away in January of 2021. He owned his home ( Paying Mortgage till death). I was named executor of his account. It took approximately 8 months to get the home ready to sell. The house sold 11 months after My fathers death. We sold the home as quickly as possible. The FMV was ( or was listed at) $198,000. The Payoff of the Mortgage was approximately $89,000. Once the the Mortgage was paid off the Amount paid to The Estate of My father was approximately $84,000 that was distributed to My self and My siblings. I Received the Form to File the Taxes on behalf of the estate which I did through Turbo Tax and the amount said that was owed was $0. I never heard from the IRS about it, until a Few months ago stating that I was to report it as income? I wrote back and Explained that The Estate Sold the Home and the proceeds were distributed. The said since that was the case, I needed to report My share ( and the potential of it being taxed) and to re adjust my 2021 taxes. Is this right? Would My siblings still owe as Individuals despite Filing the taxes under the estate?
