Indicating the value of a house for Probate petition and Inheritance Tax.

[valvano]

What is the name of your state (only U.S. law)? PA
"I live in PA. The home involved in the will that I will be probating is probably worth about 130K. The current assessed value is 55K. Two questions: What value should in indicate on the petition for probate, and what amount should I go with on the PA Inheritance Tax form. Should these 2 figures be the same? Should I go with a low value at probate and a higher value on the inheritance tax form rev 1500? What is the normal protocol for this. Thanks"

 

[OHRoadwarrior]

You cannot justify such an assessment differential. You cannot go by the tax valuation, you need a real appraisal.

 

[anteater]

Will the property be sold during administration of the estate? Or distributed in kind?

For the petition, use your best estimate of market value.

 

[valvano]

Post a reply to the thread: Indicating the value of a house for Probate petition and

Hi, thanks for answering. We will be putting the house up for sale.

 

[justalayman]

curious question because I am too lazy to hunt it up


what does the assessed value represent in PA? I know in some states, it is actually meaningless in regards to actual market value.

 

[anteater]

Hi, thanks for answering. We will be putting the house up for sale.

If the house is sold by the probate estate in a arms-length transaction within a reasonable time frame, the sales price is the best estimate of the fair market value at the date of death and can be used for the Inheritance Tax return.

 

[valvano]

I had a local realtor do a comparative market analysis on the property and he said 118K on the high end and 90K on the low end, so I guess I'll go with 100K on the petition for probate and 100K on the 3 month PA Inheritance tax return. Sound reasonable? Thanks.