Joint Ownership of R.E./Sale of R.E.

What is the name of your state? VT
A mother's 3 adult children are added to the deed of her property in 1995. Joint ownership with right of survivorship. Mother resides in the house by herself, pays her own expenses. No investment in the property by the children.

In 2003 mother passes away, and several months later the children sell the property and split the proceeds equally.

Did the children acquire an interest in the property by gift in 1995 when their names were put on the deed, or by inheritance when mother passed away in 2003?

Thank you.

pjs

[abezon]

Both. They got 1/4 when their names were put ont he deed & 1/12 each when mom died. The 1/4 is at mom's original basis. The 1/12 is at FMV. They might see a lawyer about reversing the gift from 1995 so they inherit at FMV on mom's death.