topic Sale of Jointly Held Real Estate in Deductions & credits

Sale of Jointly Held Real Estate

Johnny-Sheen — Sat, 22 Feb 2025 19:12:02 GMT

My wife and her sister jointly owned a mobile home in which her sister lived in Oregon that they sold in 2024 and split the proceeds equally.

However, "box 2 Gross Proceeds" of both of the 1099-S forms sent to these women that were furnished by the title company indicate the full sale price. Is that an error or does each of them just enter 1/2 that value when recording the transaction in Turbo Tax?

Thanks in advance, JS.

Re: Sale of Jointly Held Real Estate

KrisD15 — Sat, 22 Feb 2025 19:20:59 GMT

They can each enter half of everything. The Form 1099-S is used for a worksheet, it isn't directly matched by the IRS.

Each would enter half the original cost as their individual basis.

Re: Sale of Jointly Held Real Estate

Johnny-Sheen — Sat, 22 Feb 2025 19:26:47 GMT

Thank you for the quick response. One more question, my wife's sister also passed away last year, does someone need to file a final tax return for her or is some other action required?

Re: Sale of Jointly Held Real Estate

PaulaM — Sun, 23 Feb 2025 23:51:48 GMT

Yes, if your wife's sister who passed away has a filing requirement, then her surviving spouse or personal representative should file her final tax return.
The surviving spouse or personal representative, should indicate on the return that the person has passed.

Sorry for the loss of your wife's sister.