First, I am sorry for the loss of your mother.
You should report the income from the sale on your federal and MD. You need to complete your federal, then MD non-resident return, then the VA resident tax return. This will allow you to get state tax credit in VA.
To enter in TurboTax Online Premier,
Go to Income & Expenses
Scroll to Investment Income
Click Stocks, Mutual Funds, Bonds, Other
TurboTax will then ask all the questions necessary to enter these proceeds and import into your MD non-resident tax return.
You have both inheritance and co-ownership property. For your cost basis, you will average the two amounts
For example:
You became co-owner in 2010 when the fair market value of the home was $200,000. You have a cost basis of $50,000 (1/4 ownership)
You inherited in 2017 when the fair market value of the home was $240,000. You have a cost basis of $80,000 (1/3 ownership)
Your total cost basis at the time of sale was $65,000 (average of $50,000 and $80,000
