My 2 brothers and I recently inherited a house. If I sell my share to them I assume i will incur capital gains tax above the date of death value. What happens if they sell the house in 5 years? Are they responsible for capital gains from my mother's date of death between the 2 of them or are they credited an amount since they bought me out?
Estate Planning Attorney
Your capital gains are determined at the time of YOUR sale. If they later sell the property, it will be irrelevant to you. Their basis in your share will be wait they paid; their basis in their inherited shares will be DOD value. In other words, the property will have split basis calculations.
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