[gail47]

My father passed away earlier this year, leaving 3 children a sum of less than $500,000.00. Everything was probated and distribution made between his 3 children. Just wanting to know if I have to declare this money as income and are there any taxes that will need to be paid, federally or to the state of GA. I have been told by the executor that any money that needed to be held for taxes has been held, but it makes me nervous. I don't want any unexpected surprises! Thanks

[Fr_Chuck]

They should issue you a 1099 normally showing you what taxes were paid,

They may only be discussing the Federal Inheritance tax

You will have the issue of federal and state income taxes and/or if property was invovled also Federal gains tax.

And how the money was handed over, was part though life insurance which is not taxed and so on.

Normally if it is very invovled, a good tax attorney will be needed to review it completely

[AtlantaTaxExpert]

No need for a tax attorney in this simple case.

NO estate taxes were due on such a small estate, so it is likely no estate tax return was even filed.

A fiduciary return for the estate MAY have been filed to account for any capital gains tax that would be due on the sale of an asset like a house.

However, distributions from an estate is NOT SUBJECT TO federal or state income taxes.

YOU or your siblings will owe NO taxes.