My wife owns her mother’s home. Can she avoid capital gains tax if she sells?

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Dear MarketWatch,

Before I married my wife, she took out a mortgage on a home in El Paso, Texas so she and her mom could live in it.

After we married, my mother-in-law stayed at the property and made the mortgage payments. She’s not in good health and my wife wants to sell the property. We never profited from the property as I considered it her mom’s home.  

The…



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