Capital gain tax estimate on farm and house sold in 2018?

[rap14sep]

Mother age 92 owned farm since 1947. sold in 2018 home & 2 acres sold for 145000. 19 acres sold 171000. The estimated cost in 1947 was 200 per acre. Her taxable income 2017 was 59000

[suzyquzy]

Did she own and use the home and 2 acres as her principal residence for 2 of the 5 years prior to the sale?

For the 171 acres her long-term gain is 171,000 - (200x19=3800) = 167,200. The maximum tax is 20% or 33,440.

BUT: Did she own it herself since 1947? Or did she own it with your father/her husband who may have died sometime between 1947 and 2018?

[rap14sep]

This was her principal residence and was living there until july 2016 when she moved into assisted living facility.  She was joint owner with her husband who died in 1994.

[suzyquzy]

1/2 her basis is 200/acre. The other half is 1/2 the FMV of the property on the date of her husband's death in 1994.