Question
residential rental real estate owned by an estate
Taxpayer owned a rental property and died 02/29/2020. The estate operated the rental property from date of death until the title was transferred to a beneficiary 11/02/2020 (another beneficiary received a comparably valued asset, but it was not rental property). I stepped up the basis of the residential rental property on date of death (02/29/2020), reported rental activity on schedule E in the Estate 1041 for the months the estate operated residential rental property, and removed it from service on the estate return by showing a disposition date (11/02/2020) without a sales price. Seem logical?
