RKH-CPA
May 28, 2009, 07:55 AM
Loss deduction: Can a loss from the sale of inherited property be deducted for federal taxes?
AtlantaTaxExpert
May 28, 2009, 10:35 AM
Yes, if the inherited property loss value from the date you inherited it AND you never used the property as your personal residence.
MukatA
May 28, 2009, 11:10 PM
It depends upon the type of the property. If from the day you inherited the property, you kept it to sell it, then you can deduct the loss.
It you planned to use it as your residence or used it as residence, then you can not deduct the loss.
Read: Your U.S. Tax Return: Tax on Inheritances (http://taxipay.blogspot.com/2008/02/tax-on-inheritances.html)