International Inheritance
I am a citizen of the US filing taxes every year. My father passed away recently and I have received an inheritance from him. He was an Indian citizen and the inheritance is in India. According to the govt. of India rules, I can transmit the amount to the US by EFT after paying the reqd. taxes. My question is, would the US govt also tax me here on the principal amount or only on the interest income that I receive in the US from the inheritance. Also, what documentation would IRS require to show the inherited amount?