Does House Sale Subject Capital Gain Tax?

There are different issues related to the sale and inheritance of a personal residence. Some of the determining factors are holding period and when it was sold and how long after the death of the deviser's. When someone dies they can be Estate Taxes due depending on their wealth. Since someone needs to be very wealthy to be subjected to this tax you would know this if you were. If you were the executor or executrix of the estate there are two valuation periods that can be used for property of the deceased that being the date of death or six months after the date of death which ever is more. If the property was sold during this time period most likely the value to the devises would be the basis it was sold for within the death and six month period. That being there would be no capital gains tax due as the property would be sold for what your basis in the property is given the time of death or six months later. If you had the property for more that six months then the period of time after the valuation date would be the determining point for capital gains. So if you sold it for more than the valuation during the death period the capital gains tax would be calculated on the appreciation above the basis established, Not the basis amount. Only any increase about this basis established at death or six months later. If it was a principle residence and the amount is withing the none taxable gain of a personal residence then there would be not tax but it needs reporting and disclosure.