Asking what should be a yes or no question. My sister and I split the sale of our parents house several years ago. She now wants to know how we filed our taxes,value of the house when purchased 1938 value of the house when our dad died 1994 and value of the house when our mom died 1994. I feel this is all a moot point as she should have done her tax reporting in the year the house was sold. I don't think how we filed would affect how she filed.

Not an accountant, but your basis for the value of the house would have been its value when you inherited it.

If you sold the house immediately, you likely didn't owe any taxes.

If you sold the house later, for more than it was worth when you inherited it, you would have owed taxes on the gain.

quote:

but your basis for the value of the house would have been its value when you inherited it.

Yes, if it was vacant until sold. Also fixing up & selling expenses are deducted from any Capital Gains. A formal appraisal at time of inheritance should have been done as appraisals usually are higher than property assessors value.

That sounds like she wants to give the same values as you.