Greeley, CO asked in Estate Planning, Probate and Tax Law for Colorado

Q: I had shares in my family farm that has been handed down for 4 generations. My brother bought my shares of the farm.

Do I have to pay taxes on the money I got from my farm inheritance?

1 Lawyer Answer
D. Mathew Blackburn
D. Mathew Blackburn
Answered
  • Tax Law Lawyer
  • Englewood, CO
  • Licensed in Colorado

A: You don't pay tax on inherited property. But it sounds as if you inherited the property then sold it which is different.

You would need to determine the basis in the shares when you received them and compare that to the sales price to determine if any gain exists.

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