asked

I am completing an estate tax return for 2018 showing a sale of property. My question is about the beneficiaries. Does their portion of the distribution need to be shown through a K-1 form or some other means since it is an inheritance? Additionally, if the value and proceeds of the house sale are equal, would Schedule D be zero? If there were improvement expenses, could we show Schedule D as a loss, and would that pass through to the K-1s as a negative, thereby decreasing their personal taxable income?

December 19th, 2024

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