Deductions & credits


@GeorgeS6 wrote:

Their Dad died in 2021 and his wife lived in the house until the start of 2024 when the situation was no longer tenable to continue due to her declining health. The (2) children's names were  the only one's on the deed (50/50 split) at the time of his death and they sold the house in early 2024 to help pay for their Mom's long-term care. 


That's not enough.  It is very important to know exactly how the house got from being co-owned by the father and mother to being co-owned by the children.  All the steps in between. There was an inheritance, seemingly, but there may have also been a gift, or quitclaim deed, or other form of transfer.  We also need to know whether this home was owned by the parents in a community property state.