Hi jlquirosjr - the initial question is what is your status? For US Citizen/Green card/Substantial Presence Test passed. you would be required to report any income earned on the property and any expenses .
If you inherited land worth $100,000 or more from a foreign person, you have to report it by filing Form 3520. The receipt of the land is not taxable. Inheritance taxes are only deductible on an estate tax return, so that would not apply. You have to report the sale of the land in the year the sale occurs.
It is reported on Form 8949 and Schedule D. If you have a gain, the gain is taxable, but it is a long term capital gain, so it has a lower tax rate.
You get a stepped up basis on foreign inherited assets. The basis is the value on the date of death, (or an alternate valuation date if elected by the executor).
The alternate valuation date only applies if a US Estate Tax Return is required, so that may not apply to this case.
The delay in transferring the assets does not change the basis.
Foreign inheritance / gift questions - TurboTax Support - Intuit
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