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ktodd422
New Member

Gain of estate after death: Received stock valued at $30,000 w/ his basis of $12k. House valued at $90k w/ basis $55k. What form do I use? How to calculate the gain?

What form do I use for the acquiring an estate? How do I calculate - is the stock and house considered market value or do I subtract the basis? 

3 Replies
Carl
Level 15

Gain of estate after death: Received stock valued at $30,000 w/ his basis of $12k. House valued at $90k w/ basis $55k. What form do I use? How to calculate the gain?

TO clarify, an inheritance, be it from the estate of the deceased or directly from the deceased, is not taxable or reportable on any tax return, provided it's value does not exceed $5.2M.  For the beneficiary recipient, the cost basis of inherited assets is the FMV of the asset at the time of the passing of the deceased, and not the date it was inherited and put the name of the beneficiary recipient. The only thing the recipient will pay taxes on, are any gains that have accumulated since the passing of the deceased.
Do note that the above does not apply to inherited retirement accounts. Inherited 401(k)'s and IRA's are treated entirely different for tax purposes. How they are treated tax-wise depends on to many factors to cover here.
ktodd422
New Member

Gain of estate after death: Received stock valued at $30,000 w/ his basis of $12k. House valued at $90k w/ basis $55k. What form do I use? How to calculate the gain?

Thank you!
Critter
Level 15

Gain of estate after death: Received stock valued at $30,000 w/ his basis of $12k. House valued at $90k w/ basis $55k. What form do I use? How to calculate the gain?

There is no form to report an inheritance on a personal income tax return.    Are you trying to file an estate return ?      Did you sell the stock or house ?
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