Question

Sell inherited house

Forum|Forum|7 years ago
June 5, 2019
1 reply
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My brother myself and sister inherited a house in 1987. step up value was 75000. I lived in the house last 21yrs and now we sold for 240k. I can qualify for the exclusion of capital gains on my share 55k gain? Does turbo tax deluxe calculate thus?

TurboTax Deluxe Mac

Carl11_2

Employee

". I can qualify for the exclusion of capital gains on my share 55k gain? "

Absolutely yes. When entering the sales information all of the numbers you enter on your return will be half of everything. That's half the stepped up cost basis, half the closing costs/sales expenses, and half the gain. Now one thing that you may have to deal with, is if a 1099-S was issued for the sale, and that 1099-S was issued to only one person, when the proceeds should have been split and reported to each of you on your own 1099-S. If you have this situation we can assist with that, if you need help dealing with such a scenario. (It's easier and simpler than you think.)

Carl11_2

Employee

I just saw this was split three ways, not two. So all your numbers will be one third, not one half. The other two will report their sale of their share in the investments section of TurboTax, if that's what they're using for 2018 taxes.