[dfdalgety]

Are the proceeds for a sold inherited house considered income of sellers in new York state?

Are sales proceeds on an inherited home considered income in new York state

[ScottGem]

First, please don't piggyback your question on another's thread. This can cause confusion. Your question has been moved to its own thread.

Yes, if a profit is made on the sale of property, whether inherited or purchased the income is subject to taxation. Profit is determined by the sale price compared to the tax basis which is the fair market value at the time the testator died.

[AtlantaTaxExpert]

Additionally, you add the COSTS of the sale (improvements, prep work, real estate agent commissions, closing costs) to the basis to further reduce any capital gains.