Inherited Home-Taxable?

[zeros]

Before mother's death, ownership of her personal residence was placed in children's name. I am thinking that she was the owner until death. The home was finally sold after about 4 years. Do the siblings have to pay tax on this transaction. From the date of death the value of the house has gone down. Any help out there?

[solomon]

Before mother's death, ownership of her personal residence was placed in children's name. I am thinking that she was the owner until death. The home was finally sold after about 4 years. Do the siblings have to pay tax on this transaction. From the date of death the value of the house has gone down. Any help out there?

With the scanty information, it appears that the mother gifted the home to children but retained a life estate. Strange that the house would sit vacant the entire four years. If in fact that is the case, then the loss would be shared by each of the children.

[oceanlovin'ea]

Really have to check records and see who actually the owner of the house. Many possibilities....that will determine where taxable and to whom.

Linda, EA