hello i am the executor of my moms estate, we sold her home and a vacant lot in 2024. I establish an ein and the funds were deposited into the ein bank account. I thought i read that if the sell was less than 250,000 we did not have file a taxes

[fanfare]

even if  you have ineligible capital gains,

you should file a final tax return for the decedent.

@Info4464 

[RobertB4444]

The $250,000 that your thinking of is for a primary residence sale.  Since this was an estate selling the home that doesn't apply.  However, because your parent left the home behind when they died you get a "step-up" in basis to the value that the home had on their date of death.  So the only portion of the sale that would be taxable is the portion above that value.

Since you probably also have expenses it is most likely that you do not have any tax liability.  But the only way for the IRS to be sure of that is for you to file a tax return.  As @fanfare says you should file final tax returns just so you don't receive any letters asking questions down the road.

@Info4464 

[Info4464]

Thanks yes the home sold for the same price as the appraisal price, Do I or the other beneficiaries that received the funds responsible for including the amount received on our personal income tax return? 

[MarilynG1]

If the estate is the recipient of the 1099-S, they will report any final distributions to beneficiaries using a Form K-1. Beneficiaries receive K-1s if there are items of income, gain/loss, deductions, or credits they need to report on their tax returns as a result of the pass through from the estate or trust. 

Here's more info on Schedule K-1 for Estates and Trusts.

@Info4464