Capital Gains on Inherited Property
I inherited a property Sept. 2013 as a Transfer on Death Deed from my mother in Oregon. The place was not in great shape but I managed to get it up to speed for sale. There were liens and claims against the property from creditors and the only way to sell it was to create a small estate affidavit to pay everyone out of the sale. The total costs on the property liens, everything were $172K and I sold it Oct. 2014 at 189K. I received a check from the title company for 17K.
So about a year from inheritance to sold...17K was left after creditors, expenses...and the IRS sends me a Proceeds from Real Estate Transactions 1099-S with $189K under gross proceeds? Hardly..I wish LOL.
I understand that as long as the property was valued at $189K or above ( I don't know how to go back to that date anyway for proof) to at the time of inheriting it Sept 2013,that I won't be hit with taxes. Or is there something else I can do that I haven't thought of?
Appreciate your time!