It depends. Gifted property can always be a bit tricky because you need to figure out your basis. But, if you have done this, and you have determined that there is no capital gain on the sale, there will not be a need to file a Virginia return, because there will not be any taxable income in Virginia. You may choose to file, however, as Virginia does update their records periodically, but you are not required to do so. Here is a VA website with more information: https://www.tax.virginia.gov/who-must-file
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"