Feb 07, 2010 from
Anonymous
Value
$10.00
i have i tract of land that was a gift to me.i might sell i want to know how much taxes i would have to pay on it,being it was a gift from my parents.
I've already tried...
Answers
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Anonymous
Feb 07, 2010
what to know how much i would pay and if there is a way around paying them something i can put the moneyt into.
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http://www.extension.iastate.edu/agdm/wholefarm/html/c4-23.html
Accepted AnswerThe gift tax rules would apply to you receiving the land. "For federal gift tax purposes, property is valued at its fair market value. That applies even to land, which if held until death might be valued for federal estate tax purposes at special use value. Special use value is often considerably less than fair market value. Thus, there may be a heavier tax burden on gifts during life than if the property were held until death."
So the value of the land you received would depend on the circumstances under which you received it. That would also affect the tax ramifications of a sale.
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