Do capital gains taxes even apply in this situation?

Do capital gains taxes even apply in this situation?
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1 Answer

Answer :

Capital gains also applies to long term investments. In this case, it depends on the total valuation of the estate. The executor has to get a valuation at the time time of death to settle the estate. One of the issues is what the purchase price of the house was and what the value is now. There may be taxes due on the difference. And, depending on the state where the estate is settled, there may or may not be capital gians tax owed on the increase in value of the house. But this is Lex’s issue to figure out, and she should consult a tax specialist who has experience in settling estates.
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