I have a client that has 3 siblings that were also added to their parents house in 2012.  The parents passed in October 2018 and they sold the house in 2019.  Since the house was paid off and the parents just added them to the title, the transfer of title had -0- cost.  The house in 2019 sold for $250K.  I was the only one who recorded the gain of the 3 other siblings since it was not part of the estate.  I have been going around and around about how to report this from joint ownership tenancy, step-up basis, etc.  I feel this might qualify for a couple exclusion but I'm just not sure.  After reviewing more, I am thinking the best way to report this as it qualifies for a lifetime gift exclusion but I believe it would be from the time it change names in 2012 at the FMV price.  Since I already filed the taxes, I will need to amend and want to make sure I have my ducks in a row when explaining to the IRS.  HELP!!!

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