Legal help needed : estate property sale

Hi Guys,

Ok here is the story family member passed away last year left em and my two brothers a house worth lets say 1 million. We want to sell the house and split between the brothers i know we have to pay the realtor a percentage the estate a percentage and then any dues on the estate (only funeral home AFAIK)

My question is this: is there any other costs or expenses like tax or service fees etc that can also be added or would the calculation end up as following

property sale - (realtor + trust service fee + estate) / 3 ?

e.g 1mil - (100 000) / 3 = 300 000 per brother

Estate taxes i think.....

Depends on how the house was owned (trust), corporation etc, as apart from the estate taxes, capital gains could be applicable too

neobyte said:

Depends on how the house was owned (trust), corporation etc, as apart from the estate taxes, capital gains could be applicable too

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THe capital gains only comes in when gain is greater then 1,5 mill the house was just owned estate taxes what is that and who claims that

InSanity said:

THe capital gains only comes in when gain is greater then 1,5 mill the house was just owned estate taxes what is that and who claims that

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Not entirely correct there - according to SARS, this is only applicable if the primary residence (the property in question must be a primary residence) is not captured in a trust, company:

- it must be owned by a natural person (not a trust, company or close corporation); and
- the owner or spouse of the owner must ordinarily reside in the home as his or her main residence and must use the home mainly for domestic purposes.

2.b. Is an asset acquired by inheritance subject to CGT?

If a parent dies and, for example, leaves you a holiday house, the difference between the market value on date of death and the base cost will be subject to CGT in the hands of the parent. You will inherit the house at its current market value. If one day you sell the house, you will be taxed on the difference between the value of the house when you inherited it and the price for which you sell it.