Sold Inherited Property - Life Estate - Capital Gains?

[daddison]

Relative created and added me to a Life Estate on her house in 2012. She passed away August 2022 and I have sold the house this month for less than $500k. My understanding is that I will have no tax obligation from this due to inheritance tax thresholds and step-up in cost basis rules that set my cost-basis amount for the property to market value at the time of her death. Since she passed in September 2022 and I sold the property in November 2022 then there should be capital gains to be taxed correct? If I am subject to Capital Gains then how is Market Value at Time of Death calculated?

[daddison]

Edit meant to add a "no" at the end... "then there should be NO capital gains to be taxed correct?"