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TaxRobin
TaxRobin, Tax Preparer
Category: Capital Gains and Losses
Satisfied Customers: 13313
Experience:  15+ years in Tax preparartion as well as Instructor for tax law, theory, and application
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My mother passed away, leaving a home to sell. With 7 heirs,

Customer Question

My mother passed away, leaving a home to sell. With 7 heirs, how will the capital gains be calculated for the sale of this inherited property?
Submitted: 6 months ago.
Category: Capital Gains and Losses
Expert:  TaxRobin replied 6 months ago.
HelloIf the house ownership is transferred to the heirs and then sold , they each will report the 1/7 th part of basis and sale price on their returns.Basis will be the Fair Market Value of the house on the date your mother passed away and then divided by 7. The sale price is the price sold for plus cost to sell divided by 7.Because inherited property uses Fair Market Value it is unusual to have a gain. No gain means no actual tax to pay on the sell.Each uses form 8949 and Schedule D to report the sell.You are required to click a positive rating if I am to be credited with the response.You have to actively click on a rating and click submit. Smiley Faces or Stars.

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