Sale of house

Forum|Forum|1 year ago
February 3, 2025
1 reply
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I inherited my parents home in August 2023 thru TODD . I sold house to a family member below market value , transaction was finalized in May 2024. I was not issued a 1099 form at closing, I was just informed that I can use the disclosure cost documents to file my taxes . Is this accurate ? I’m wondering how much tax liability I will have . Thank you .

Not A Product Question

RobertB4444

You can use the closing documents to file your taxes. You will need to know the date that you inherited the home (that will be your purchase date), the value of the home on that date (an appraised value or the tax roll value), the date that you sold the home, the amount that you sold the home for and any closing costs that you might have had.

You'll scroll down in the Wages and Income section of TurboTax until you reach 'Less Common Income' at the bottom. Around the middle of that section is 'Sale of Home'. Click on that and follow the steps to enter all of the information about your sale.

It sounds like you will have a loss for the year. Because you are related to the person who bought the home you may not be able to deduct that loss but at the very least you will not owe any taxes on the sale.

@Rose65

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