I sold an inherited foreign property for which taxes (20%) were already deducted in the foreign country before realizing the sale proceeds. The tax is calculated there, not. based on when I inherited it but, based on local laws.
I inherited the property in December 2022 when my mother passed away.
I am reporting the sale on Schedule D and Form 8949.
However, the proceeds realized on sale ($75K) are lower than the FMV in December 2022 ($86K) based on price trends shown on online realtor sites. I am unable to find any official government record to determine the fair market value of property on date of inheritance. So, I am using FMV trends available from online-property-buy-sell websites.
Is it fair to report the loss ($11,000) on this sale of inherited foreign property?
Or, should I claim no-profit/no-loss?
