Legal Question in Real Estate Law in Virginia
Selling land that was inherited
a father died in march 2004. he had undeeded parcels of farm land that were disbursed by a deed of partition in september 2006. If the land is sold right away, how will capitol gains be considered; from the date of death of the deed of partition?
1 Answer from Attorneys
Re: Selling land that was inherited
Capital gains on these real property inheritances will be calculated to the heirs from the date of the decedent's
death. (Each of the heirs should receive what's called a "stepped up basis" for the purposes of calculating what each may owe in capital gains taxes. This stepped up basis should more or less coincide with the fair market value of each parcel of land at the time of the decedent's death and should lower the capital gains taxes that otherwise might have been assessed if the heirs had been gifted the parcels of land before the decedent had passed on.)
Related Questions & Answers
-
Which form or contrast do I use? I am a new investor, I plan on... Asked 12/30/06, 3:28 pm in United States Virginia Real Estate and Real Property
Looking for something else?
10,200 active attorneys ready to answer your legal questions today.
Featured Attorneys
Earn additional revenue and grow your business.
