Inheriting real estate

Forum|Forum|3 years ago
November 16, 2022
1 reply
15 views

We inherited a home from my wife’s mother and the property was sold within 2 months of her death. Would the value of the home be the sales price minus any costs incurred from the sale such as commissions, and closing costs? Also which of your soft ware packages would be the best to handle this situation? I also have some self employment income.

R-SchuleCPA

Level 5

The value of the home is actually decedents date of death. (Condolences). However, since the the sale date is so close to date of death (two months), then date of sale would probably be a reasonable approximation, unless in that time period, the property for some reason greatly increased or decreased in value. In tax language this is called basis. Closing costs could be used to increase basis in home. Turbo Tax Self Employed module will accommodate both sale of property and self employment income.

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"