Do Probate and Legal Expenses Increase the Basis of Inherited Real Estate?

[rferretti]

The replies are not entirely correct.  Your legal fees that you personally incurred to defend your right in the capital of the trust may be added to cost of the property you received from the trust since it is a cost connected with acquiring the assets in respect of your capital interest

[M-MTax]

Not sure where this came from but probate and legal expenses are deductible on the estate's 1041 if the estate either pays them directly or the beneficiary pays the expenses and is reimbursed by the estate.