Margaret CPA in OH Posted March 16, 2012 Report Share Posted March 16, 2012 Decedent's home was in rev now irrev trust. Trustee spent a good bit fixing up for sale 7 months later. 1099-S was issued so I want to match with report. Is it just a capital asset in the trust with stepped up basis at date of death? Half the home was rented going back to 1952. I'm thinking there is no capital gain from value back then or depreciation recapture now because of circumstances but can't find direct answers. Any help appreciated! All other trusts I've done have been just cash no houses let alone rental history. Quote Link to comment Share on other sites More sharing options...
BulldogTom Posted March 17, 2012 Report Share Posted March 17, 2012 I think you are on the right track. DOD FMV + Improvements = Adjusted Basis (providing they were not renting the property after DOD). Now the big question is - did the trust sell or did the beneficiaries recieve a distribution of property and then sell it? Tom Lodi, CA Quote Link to comment Share on other sites More sharing options...
Margaret CPA in OH Posted March 18, 2012 Author Report Share Posted March 18, 2012 The trust sold the property. Cash is still in account waiting to be distributed - there are family issues. Tenant moved in late March just before grantor died April 2. Trust just had fixing up expenses and utilities, taxes, etc. before sale. The expenses were repairs and cleaning, not improvements. Thanks, Tom. Quote Link to comment Share on other sites More sharing options...
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