Where do I add lawyers fees to the value of an inherited lot?

[cornelius-b-turner]

I inherited a lot in 1960. Over the years, I had to pay lawyer's fees in order to obtain clear title to the property. I sold the lot in 2016. Where do I enter the lawyers fees in Turbo Tax?

[cornelius-b-turner]

Where in Turbo Tax Deluxe do I add the fees to the basis?

[ToddL]

See the added instructions, below. The Second Home interview will ask about costs and you will add the legal fees to your original basis (FMV on date you inherited it).

[ToddL · Accepted solution]

You would add the lawyer's fees to your basis in the lot, as if it were part of the original value when you inherited the lot. 

Example:

If your basis (value at time inherited) was $100,000 and you spent $2,000 in legal fees to obtain clear title, your adjusted basis would be $102,000.

If you sold it for $200,000 and had selling costs of $5,000, your net proceeds would be $195,000.

Your resulting gain would be $93,000 ($195,000 minus $102,000).

Where do I enter the sale of a second home, an inherited home, or land?

https://ttlc.intuit.com/replies/4241480