topic Sale of a Gift in Investors & landlords

Sale of a Gift

palbert1 — Wed, 11 Feb 2026 10:39:47 GMT

My wife and I gifted a rental condo to our son who also operated it as a rental.

The market value of the condo was reported as $258,0000 with $129,000 reported on each of our separate form 709 Gift Tax Returns. The computed tax for each of our returns was $43,606. Our lifetime gift credit was reduced by that amount for each of us.

The question is: IF OUR SON SELLS THE CONDO IN 2024 FOR $238,000, DOES HE HAVE A REPORTABLE LOSS OF $20,000 FOR HIS TAX PURPOSES?

Re: Sale of a Gift

Anonymous_ — Fri, 20 Dec 2024 04:45:35 GMT

Re: Sale of a Gift

palbert1 — Fri, 25 Oct 2024 14:36:37 GMT

Hello and Thank You for your response yesterday.

$70,388 was the adjusted basis with depreciation taken as reported on our Form 709.

Re: Sale of a Gift

Anonymous_ — Fri, 20 Dec 2024 04:45:20 GMT

Re: Sale of a Gift

palbert1 — Fri, 25 Oct 2024 16:36:05 GMT

That's what he did. Thank you for your help. We really appreciate it!

Paul Albert