750155
You'll need to sign in or create an account to connect with an expert.
Generally, inherited property (including cash, stocks, and real estate) is not taxable or reportable on a personal1040 federal return.
However, any income earned from an inheritance such as interest, dividends, rent) or capital gains will be taxable on a federal return.
An inheritance will be taxable if you inherit an IRA, 401(k) or other retirement account (distributions out of them are taxable) . That would be considered "income in respect of a decedent" which is earned by a deceased person prior to death. Because it was paid after death the income is taxable to the recipient in the year paid.
Where would I report this income on my 1040?
Still have questions?
Questions are answered within a few hours on average.
Post a Question*Must create login to post
Ask questions and learn more about your taxes and finances.
Gumdr0ps
New Member
RandlePink
New Member
jannethu
Level 2
jrhargrove74
New Member
rlb1920
Returning Member