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Lv 5
? asked in Business & FinanceTaxesUnited States · 10 years ago

Mother gave me land 1987,I sold it today for 35000.Do I have to pay capital gains tax.?

Land been in family for 200 years.Land deeded from each generation.Every thing legal. Wrong info about 1 hour ago.Capital gains tax not inheritance tax.

3 Answers

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  • Anonymous
    10 years ago
    Favorite Answer

    If mom gifted it to you BEFORE she died, you use her basis. (FMV comes into play on a gift if there is a loss.) If mom died and left it to you in her will, you use the FMV on the day she died.

    See IRS publication 551.

  • 10 years ago

    Technically, the answer is Yes.

    You will need to report this sale as a capital gain and pay the ensuing tax on your profit. We know what the selling price is based on your question, but what we will need to do is establish your cost basis, which would be the fair market value of the property on the date that your mother deeded this property to you.

  • Judy
    Lv 7
    10 years ago

    Yes, very likely 15% or $5250.

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