Legal Question in Wills and Trusts in Alabama

Property Inheritance

Wehn my Dad passed away, he left the three kids severall homes and some property --- we collectively decided to sell everything and then devide the money -- my question is how long do we have before they are not eligible for no capital gains tax -- or is there a time frame - thanks


Asked on 9/18/06, 5:17 pm

1 Answer from Attorneys
William Nolan Nolan Elder Law LLC

Re: Property Inheritance

You might consult a CPA for this as well, but generally the value of your father's real estate is "set" on the date of his death. Your basis, that is, the acquisition cost of the property, is this value. If you sell the property for that price, you pay no tax. If you wait and sell it when it has appreciated, you pay CG tax on the amount of the appreciation. There is no time limit but you must be able to show the value at the time of your father's death or else the IRS may argue with you that it is a different value.

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Answered on 9/19/06, 8:40 am


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