Maybe I'm overthinking this.
My mom's cost basis for the jointly owned home she and Daddy had that is now a rental. A couple of people have confirmed how to find the adjusted basis. They reminded me to add in 50% of the FMV of the property on the date Daddy died.
According to the property records for 2021, The FMV of the property is $356,500 with a land value of $120,700. No one advised me to deduct 1/2 of the FMV of the land. Every response said add in $182,750.
So do I just use $182,750 (1/2 of FMV of property) OR do I use $122,400 (1/2 of FMV of property $182,750 - minus- $60,350 (1/2 of FMV of land).
Thanks for your help!! This is very complicated and I want to get it right!!
