Selling Property

Forum|Forum|4 years ago
January 26, 2022
12 replies
34 views

My parents passed away and I sold their house. Proceeds were split 4 ways. I received 20k. How do I report it? Do I report the total or what was given to me?

RobertB4444

Level 15

You (and the three others that you split with) are each going to enter one fourth of the sale onto your tax return. You will input the sale and then the value of the money received at one fourth and the value that was paid (the basis - which in this case is the value of the house on the day that your parents passed away) for the property. If there is a profit showing at that point you will pay taxes on the gain.

Here is another example

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Myaccount1 12Author

Level 2

So let's use this equation: house sold for 85k. After fees, 82k was left over. And beneficiaries got 20k each....where do I go from here?

MayaD

Alumni - Intuit

You should report it as investment sale.

Login to your account.
Select Federal from the left menu
Go to Wages and Income
Scroll down to Investment Income.
Since you did not receive a 1099-B, answer “no” to the 1099-B question
Select Other for What type of investment did you sell?
Select I inherited for How did you receive this investment?
Increase the basis (FMV) of the inherited property by the allowable closing costs.

You can deduct the selling expenses(your share) from the gross proceed.

Sales expenses include:

commissions
appraisal fees
broker's fees
legal fees
advertising fees
home inspection reports
title insurance
transfer taxes or fees
geological surveys
loan charges (points) or other fees paid on the buyer's behalf
any fees for a service that helped you sell your home without a broker (listing fees, promotional fliers, etc.)