USA Selling Real-estate after Death of Parents


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I am one of 5 children and recently, my mother passed away. My father passed away 4 years ago. They owned 2 pieces of Real-estate. One they owned was acreage (no house on it) and this property was in both of their names when my mother passed. The other piece of property was the home that they lived in. Four years ago, my mother deeded the house/property to the 5 children. My parents purchased this house about 40 years ago. Both of these are in the state of Tennessee. When we go to sell these properties, will we have to pay taxes on any gains?
 
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You need to see either a CPA or Attorney to sort these issues out.
Determining gain/loss depends upon FMV on date of death as the starting point. An appraisal is required if
no reporting of any kind was done when your father died.
Acreage property - needs to have 1/2 FMV determined as of date your father died for his 1/2 and FMV as of date your mother died.
Residence - FMV must be determined as of date deeded - then divided in the ratios determined by a will or other legal document.
When sold, selling price less closing costs , are also split by the same ratios.
 
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Thank you so much for your reply, Big E! I thought this was more complicated than my siblings thought. We’ve contacted an attorney and will be looking for an accountant.
 

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