Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 09-16-2017, 05:55 PM
Junior Member
 
Join Date: Sep 2017
Posts: 2
A tricky one?

I inherited California property at "x" appraised value and lived there for 8 years. Then married, changed title to me and the wife (at now "y" appraised value), moved to Utah, and rented out California property. After 12 years, say, now selling California house at sale price "z."

How to figure the basis?

What paperwork is going to be different because we are Utah residents?

Thanks for any help!



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #2 (permalink)  
Old 09-17-2017, 03:13 AM
Moderator
 
Join Date: Oct 2010
Posts: 4,803
I inherited California property at "x" appraised value and lived there for 8 years. Then married, changed title to me and the wife (at now "y" appraised value), moved to Utah, and rented out California property. After 12 years, say, now selling California house at sale price "z."

How to figure the basis?=====>> Things get a little more convoluted if you inherit real estate, because the deed that records ownership of the property must be modified to reflect that you?re the new owner. In most cases, the executor of the will or a representative from the probate court will issue a new deed that names you as the property?s new owner. In some states, real estate vests in a beneficiary named in a will at the time of the property owner?s death There?s no legal reason to change the titleThe general rule is referred to as the ?step-up? basis rule. That is, the heir receives a basis in inherited property equal to its date of death value;so, the recipient's basis for inherited property is stepped up or stepped down from the decedent's cost to the asset's fair market value at the decedent's date of death.
The step-up basis rule applies to inherited property that's includible in the deceased's gross estate, whether or not a federal estate tax return was filed.

What paperwork is going to be different because we are Utah residents?=====>>I guess youneed to to contact CA state BOE for more accurate info.



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #3 (permalink)  
Old 09-19-2017, 09:15 AM
Junior Member
 
Join Date: Sep 2017
Posts: 2
Quote:
Originally Posted by Wnhough View Post
Things get a little more convoluted if you inherit real estate, because the deed that records ownership of the property must be modified to reflect that you?re the new owner.
Yes, the deed was changed when I inherited the property to reflect the new ownership. Then changed again when married....



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Tricky Education Refund Problem lucian123 Tax Credit 1 06-07-2017 03:03 AM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning