It depends. If the trust had no income then it is not required to be filed and this assumes the beneficiaries (you and your sisters) actually sold your father's house. You may want to file Form 1041 as final, if you haven't done that.
If you did not get a 1099-S, then you really wouldn't need to file the sale. As you indicated, the sales price and the value on the date of death are the same. The only difference could be a loss due to sales expenses. If none of you lived in it as your home, then each of you could have a reportable loss that would reduce your other income and thereby reduce your overall tax liability. You do have the option of reporting the sale of inherited property.
In TurboTax you can follow these steps to enter the sale (click the link for more information):
- Open or continue your return.
- Navigate to the investment sales section:
- TurboTax Online/Mobile: Go to investment sales.
- TurboTax Desktop: Search for investment sales and then select the Jump to link.
- Answer Yes to the question Did you have investment income in 2024?
- If you land on the Your investments and savings screen, select Add investments.
- Select 'I inherited it' for the acquired date and TurboTax will handle the proper treatment of the loss.
We are very sorry for your loss.
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