Estate Law Questions? Ask an Estate Lawyer.
Before we begin, I note that the above states this is not legal advice. If you are a tax attorney why is this not considered legal advice?
In this situation I will need printed information to share with my brother-in-law and his wife, which should show that you are a real estate tax attorney.
Hello TMcJD. Will I be able to have a printed version (or can I print) of our conversation to recap what information you provide?
3. 72,000.00 USD
4. No. The home was rented for approximately 6-8 months after his father's death.
In your example above, "if they purchased the property for 20,000 . . . etc. etc." . . . . what if the home was valued (at the time it was gifted) the same amount it was sold for, which is 72,000 USD?
For clarity, the capital gains is based on the difference between the purchase price and the sales price . . . is this correct?
I want to be totally clear on what the term "basis" means. For example, let's say my in-laws paid 50,000 USD for the home when it was built in 1980 . . . what amount of taxes would be owed now that it has sold for 72,000 USD?
Just want to thank you TMcJD for your help. Please respond and I will rate and proceed with closure.