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Does My Mom Need to Report the Sale of Her Home to the IRS?

  • April 6th, 2023
Q
My mom was forced to sell her home due to health issues, and all of the proceeds were wired to her living trust account. She did not receive a Form 1099-S for the sale. Does she need to report this sale to the IRS?
A

Yes. She needs to report the capital gain on the sale. However, she can exclude the first $250,000 of the gain, so the sale and reporting may or may not result in any taxes.

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Last Modified: 04/06/2023

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