If my brother sells a house he inherited from our father, does he have to pay taxes?

Question

My father died in 1999.

The house is worth all of $10k

My brother has no income (don't ask!)

Thanks.

Answer 1

What was the house worth in 1999 when your brother inherited it?  If it was worth $10K or more, and it was not rented since 1999, then your brother will not owe any taxes and would not have to file a tax return.

If it was rented, then there could be a gain subject to tax.  If the gain is more than $8,950 your brother will have to file a tax return and pay tax.  It is very unlikely that this is the case.  However, if the house was rented he should have the gain figured by a tax preparer.