How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask RayAnswers Your Own Question
RayAnswers, Attorney
Category: Estate Law
Satisfied Customers: 41013
Experience:  Texas lawyer for 30 years in Estate law
Type Your Estate Law Question Here...
RayAnswers is online now
A new question is answered every 9 seconds

Does the surviving spouse inherit real estate rental

Customer Question

Does the surviving spouse inherit real estate rental properties at a new cost basis? If so, can the surviving spouse sell these rental properties without paying capital gains taxes?
Submitted: 12 months ago.
Category: Estate Law
Expert:  RayAnswers replied 12 months ago.

Hi and welcome to JA. Ray here to help you today.

Expert:  RayAnswers replied 12 months ago.

Here you would have basis calculated from date you take title.If the properties remain in trust then once they are sold you would owe for the basis from time they were transferred into the trust.The trust here can pay taxes or you would have to do so.There will be capital gains here the long term rate at highest is 20% today for 2016.You would have to calculate the gain here from when they were placed into the trust and the share you inherited at spouse's death.

You are going to need a CPA here to plan this for you it may be possible to time the sale and minimize taxes.You may have some offsets.You certainly want to talk this over with CPA before you sell because this could be a big hit.At least you would want to stagger these to different years.But there is going to be gain here and taxes due upon sale or transfer out of trust.

Related Estate Law Questions