121 Exclusion

[stern100]

Have a 90 yr old client owned & lived in ny home for 40 yrs.
Son & daughter transferred home title to themselves 4 yrs ago to avoid the mom paying future nursing home exp. They just sold the home, mom lived in it up until time of sale.
The settlement statement was disbursed evenly amongst the three for some reason.
No 1099s issued as far as I can tell. Does the mom still get any exclusion & how do the kids report basis if any? Thanks for your thoughts.

[Jesse]

Mom will receive Sec 121 exclusion for her portion of ownership. Children will need to follow the Remainderman rules. I know this topic has been on the board before, so do a search w/ "life estate" or "remainderman" and you'll probably find some interesting past discussions.

[stern100]

great thanks for the help