Have a Tax Question? Ask a Tax Expert
Hello and thanks for trusting me to help you today. I am a tax adviser with over 15 years of experience.
The rates for Pennsylvania inheritance tax are as follows:
15 percent on transfers to other heirs, except charitable organizations, exempt institutions and government entities exempt from tax.Inheritance tax is imposed as a percentage of the value of a decedent's estate transferred to beneficiaries by will, heirs by intestacy and transferees by operation of law.You would not owe inheritance tax on the amount you received for the sale. You would need to report the sale though but your basis (or cost) is the fairmarket value on the date of death.Any gain would be the difference in basis and sale price.
If the fairmarket value of the property was $40,000 and it sold for $41,200 then $1,200 will be shown as gain and taxed under capital asset %. As long term holding this will be lower than regular tax.
are estates closings recorded at your local county courthouse. thank you
Yes, the closing would be recorded
what would happen if it was never recorded
Then the process is not complete. You should speak with the attorney that handled this.
can one person record this capital gain on there tax return or does all beneficiarys have to recored ther share. trying to make it easy
The individual that inherited the property would have to show the sale. If the house was inherited by numerous beneficiaries then all would report their portion on their return.
It just depends on who inherited the property.
for some unknown reason the attorney needs my sisters last two years income tax filings, if I don't have them what is my options. ? why would he need them the estate has been settled with the state inheritance tax
You would have to ask him why he needs those but the executor can request those copies form the IRS
thank , you have been very helpful , have a good day, good bye