Inheirited Property
My mother just sold some property which she inheirited from my father who died in 1997. He also inherited this property from his father. Question is - How would the capital gains be calculated?
My mother just sold some property which she inheirited from my father who died in 1997. He also inherited this property from his father. Question is - How would the capital gains be calculated?
How was title to the property held? Father as sole owner, or Mother and Father as joint owners?
Was the property used by your mother as her primary residence at least two of the previous five years?
Thank you very much for your replies. I believe she should be able to go back and find the value of the land through the village tax office.
Quote:I believe she should be able to go back and find the value of the land through the village tax office.Tax assessed value is not the same as appraised value. Very often, in counties where I have owned property, the tax assessed value was significantly less than the appraised value (or comparable value) -- sometimes 50% less. If your mother uses tax assessments to determine her cost basis, she could end up paying much more in capital gains than might have been due if a true appraisal had been done.
Suggest you contract a local land appraiser for suggestions on how to proceed.
She sold it for $350,000.