Help! I inherited a house!

[Puebla7]

What is the name of your state? Pennsylvania

Help! I inherited a house 3 years ago. The entire estate was probated and inheritance tax was paid to the state of PA at a rate of 15%.

At the time the inheritance tax was submitted, the house had been appraised at $150,000.

The tax on this was paid as well as other assets.

Now I am selling the house for $250,000. The house is still in the name of the estate. I never transferred it over.

Do I have to pay back the state of PA additional money, i.e. the difference between what was originally submitted (based on $150,000) and the new selling price of $250,000?

OR does this simply have to be declared as a Capital Gains Tax on my Federal Income Tax statement? Or Both?

Help! I am VERY confused!

 

[dallas702]

Since the value was established at the time of probate, and the taxes paid, why do you think you owe PA anything now?

Did you live in the house? If so, and it's been over 2 years you also don't owe the IRS anything. If not your primary or qualified secondary residence get the IRS publication that tells you how to figure the tax.