Cost Basis- Inherited Real Estate

[scottconl]

I'm the successor Trustee of my father's Trust. He passed in 2013, but we did not transfer property title out of the Trust to the 3 beneficiaries until 2019. We are looking at selling an unimproved parcel. If we get a retroactive appraisal done, are we using date of death or date of transfer out of Trust?

[Anonymous_ · Accepted solution]

On the assumption that the trust was a grantor trust when your father was alive and the parcel was included in his gross estate (which would be the typical scenario), then the basis of the parcel would be the fair market value on the date of your father's death per Section 1014.