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New Member
posted Jun 6, 2019 10:14:07 AM

My Mom signed over her properties before she passed to myself and 2 siblings. We sold one home. Would this be inherited, gift or other? Not sure about cost basis.

We took a loss on the house. Sold it to a relative. I did receive a 1099-s. It did not show the loss, just Gross proceeds. How would I put this in? Thanks

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1 Best answer
Level 1
Jun 6, 2019 10:14:12 AM

It depends on how she signed over the home.

If she removed herself from the deed, you and your siblings received a gift on that date. As a gift, your cost basis is her purchase price. 

If she created a joint tenancy with right of survivorship. you have a 50% gift and 50% inheritance. You will average her purchase price with the fair market value of the home when she died. 

I am sorry about the loss of your mother. 

[edit 2/20/18 2:39 PST]

4 Replies
Level 1
Jun 6, 2019 10:14:08 AM

Please note the edit. Sorry for the confusion.

New Member
Jun 6, 2019 10:14:09 AM

She did take her name off. To get a little farther in the weeds. My parents bought this property in the late 70s. Not sure what they paid. She built a new house in 2016. In TTax it ask for cost basis and fair market value. I do know what it sold for, and the higher appraised price. Thank you for the kind words. She is missed.

New Member
Jun 6, 2019 10:14:11 AM

She did take her name off. To get a little farther in the weeds. My parents bought this property in the late 70s. Not sure what they paid. She built a new house in 2016. In TTax it ask for cost basis and fair market value. I do know what it sold for, and the higher appraised price. Thank you for the kind words. She is missed.

Level 1
Jun 6, 2019 10:14:12 AM

It depends on how she signed over the home.

If she removed herself from the deed, you and your siblings received a gift on that date. As a gift, your cost basis is her purchase price. 

If she created a joint tenancy with right of survivorship. you have a 50% gift and 50% inheritance. You will average her purchase price with the fair market value of the home when she died. 

I am sorry about the loss of your mother. 

[edit 2/20/18 2:39 PST]