a friend died several years ago and left an apt bldg. to her two sisters and myself (not related). we have kept the bldg. for several years ( i lived in one unit and 1 sister in another of the 5 units). we have mutually decided to sell the bldg. what is our tax liability. do we owe inheritance tax, income tax, or capital gain tax. How do we arrive at fmv of property at time death? when splitting up proceeds we each own different shares. how do we figure each. we have treated it as rental property while we have owned and reported it as such on our taxes. are we intitled to take of upgrades prior to sale and sale expenses ?
