topic Re: Home Inheritance in Get your taxes done using TurboTax

Inheritance

Randy1206 — Mon, 01 Feb 2021 15:16:33 GMT

My mother passed away and I was given a check from probate court for my third of her bank account. We sold her home and each child got a third. How or do I need to report this on my taxes.

Re: Inheritance

Anonymous_ — Mon, 01 Feb 2021 15:52:44 GMT

You should get (or have gotten) a tax reporting statement, such as a 1099-S or a K-1 from the estate (which would have filed or will file a Form 1041).

Regardless, the calculation typically involves subtracting your basis (the fair market value on the date of your mother's death) from the selling price. If the sale occurs shortly after death, there is usually little or no gain and, if the property is not used by a beneficiary or family member, possibly a small loss due to selling expenses.

Check with the estate administrator or the probate attorney.

Re: Home Inheritance

JEFFREYSR — Mon, 08 Feb 2021 02:31:18 GMT

I have a similar situation my Mother passed away 2/2020 her home was left to me as an only child. The house was sold 9/2020 I'm having trouble finding where to input the selling price and selling costs. I'm totally lost. It is my understanding that since it was inherited that I won.t have to pay taxes on the house. The selling price was $150,000.00.

Thank you for your help

Re: Home Inheritance

MaryM428 — Mon, 08 Feb 2021 02:55:08 GMT

Before you enter information into TurboTax you need to know the basis of the home sale. That is the value of the hone on the day your mother died, put any money that you spent on the home before selling it, and any cost of selling the property. Any taxes, real estate commiissonis, advertising, or repairs to the home that you paid after her death.

You will need to use TurboTax Premier to report this income.

In the search bar in premier type in Sold Inherited home and pick Second/Inherited home or land.

Go thorough the interview questions. It is an inherited second home. Proceeds is the amount that the home sold for. When it asks for fair market value, click learn more to understand how to calculate that figure.

@ JEFFREYSR