What is my tax liability for receiving a share of the proceeds of real estate sale of an estate?

In Texas parents died in 2005. Sibling and I equally to share in real estate previously held by parents. Neither wanted so property was sold. At sale proceeds distributed by title company, half to each of us. What is my federal tax liablity? Entire estate was well below Federal Estate Tax limit.

Public Comments

1. Depends on when it was sold I think. If the estate sold it and then distributed cash to you and sibling, then that's just part of the estate distribution and no tax due. If the estate distributed the real estate to you and sibling, you have a "basis" (amount paid) equal to your share of the value. If you then sell it, you will have either gain or loss for the difference between your basis and the selling price. Probably worth the $$ to get some professional advice if the amounts are big.
2. Assuming you were paid this money out of the estate, then it is an inheritance, and not subject to taxation.