I am a U.S permanent resident and over 8 years ago I inherited my dad’s house in Venezuela. I just sold the house below the market value and I never made a profit from the house, I even spent money keeping it. Do I have to pay taxes for that sale and bring the money into the US? – Additionally I know about the SAR, do I have to submit any paperwork to the bank before the wire transfer so they do not consider that transaction suspicious?. Thanks
Your basis in inherited property is its value at decedent’s death, plus any improvements. You have a taxable gain if it sold for more, a loss if less. Report on Schedule D.
Additional rules apply if it was used as a rental. Use Form 4797 to report sale of income property.
You don’t have to advise the bank, but it may be prudent.
you don’t mention if you rented it during those 8 yrs which would have made it an income producing asset
loss on a personal residence is not reportable