Florida friend inherited property in Ohio - Needs Tax guidance

8 Replies

Hey All! A friend of mine living here in Florida inherited a property from her grandmother who recently passed away in Ohio. She intends on selling it, but I believe got some pretty inaccurate info. Someone told her she'd have to pay around 60% in either inheritance and/or estate taxes. I'm pretty sure that's bad info. It is paid off, and she is the only one on the deed. I'm looking to refer her to a solid CPA that can handle this for her, and figured what better place to throw it there than our BP community! Thanks!

Originally posted by @Fausto Carosella:

Hey All! A friend of mine living here in Florida inherited a property from her grandmother who recently passed away in Ohio. She intends on selling it, but I believe got some pretty inaccurate info. Someone told her she'd have to pay around 60% in either inheritance and/or estate taxes. I'm pretty sure that's bad info. It is paid off, and she is the only one on the deed. I'm looking to refer her to a solid CPA that can handle this for her, and figured what better place to throw it there than our BP community! Thanks!

Yes, that is a bad info. You dont pay any tax on inherited property. If she sells right way without any appreciations, she will also not owe any taxes.  

@Lance Lvovsky is in FL. See if he can help.  

Ohio used to have an estate tax, but I think that was repealed so unless the estate was pretty large there probably won't be any tax even at the estate's level. 

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@Fausto Carosella

There are different types of taxes.

There is an estate tax and an income tax.

The estate(depending on how large) can be subject to federal and state estate taxes.
Once the property is transferred to your friend, he/she may be subject to federal and state income taxes upon sale.
One thing to be mindful is that there is a step-up in basis for inherited assets.