Posted on: 23rd Aug, 2008 05:35 pm
my mother and i signed a quit claim deed 3 years ago on her condo. she past away last year, and i am selling the condo. how does capital gains effect me. she lived there till she passed away. i have my own home. we did this so we would not have probate involved, all her assets were in my name.
When the sale price exceeds the the purchase price the seller requires to pay the capital gain tax.
Hi JMDeMario,
If the condo is in your name and you're selling it, there are capital gains tax implications to be considered if at all you incur a profit from the sale. The tax basis will be equal to the difference between sale price and adjusted basis of the property.
Adjusted basis is equal to the purchase price of property plus maintenance and improvement costs till your mother's death minus any depreciation in home value at the time of death.
However, you may qualify for capital gains tax exemption if you satisfy certain criteria. Know more...
Good luck
If the condo is in your name and you're selling it, there are capital gains tax implications to be considered if at all you incur a profit from the sale. The tax basis will be equal to the difference between sale price and adjusted basis of the property.
Adjusted basis is equal to the purchase price of property plus maintenance and improvement costs till your mother's death minus any depreciation in home value at the time of death.
However, you may qualify for capital gains tax exemption if you satisfy certain criteria. Know more...
Good luck