Estateoflew
Junior Member
What is the name of your state? Mass
I'm the executor of an estate. The decedent had a life estate and agreed in a contract, to let the remainderman buy him out. The decedent died and then was paid by the remainderman. The proceeds were put in the estate accounts.
How should the proceeds be treated for tax purposes?
is it income or capital gains
is it recorded on the decedents final tax return, or the estates?
I'm trying to get an idea so I can do a rough filling out of the taxes befor going to a tax professional. I like to have a handle on issues I will have to deal with. Thanks in advance.
I'm the executor of an estate. The decedent had a life estate and agreed in a contract, to let the remainderman buy him out. The decedent died and then was paid by the remainderman. The proceeds were put in the estate accounts.
How should the proceeds be treated for tax purposes?
is it income or capital gains
is it recorded on the decedents final tax return, or the estates?
I'm trying to get an idea so I can do a rough filling out of the taxes befor going to a tax professional. I like to have a handle on issues I will have to deal with. Thanks in advance.