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I have been filing 1040ez for the last couple of years, but I recently discovered I owned property through a dissolved corporation (Florida, C Corp) in which I was the sole share holder.

I purchased this property over 10 years ago for $130k via a private lender. I quit claimed deeded the property over to the private lender years ago, but he never did anything with it. Meanwhile, the condo association dues were piling up, and they eventually foreclosed on the property. It went to auction and sold for $60k. So, $30k in foreclosure surplus left over.

After the courts waited for 60 days for a claim by an owner of the surplus, a trustee picked it up to the find the rightful owner. The courts declared myself as the owner and disbursed a check to me for $25k (less trustee fees).

So here I am sitting with a check and deciding what I should do. Cash it this year or next? I am trying to figure out my tax rate. I guess it is considered capital gains, and falls under this tax year? The property was auctioned this year -- so I guess I can now claim that as a loss as well?

What should I do? How do I accurately lessen the tax legally? Also, do I now have to go adjust my previous tax filings and claim I had a property, even though the property was owned by my dissolved C Corp. (not LLC)? The check is made out in my personal name.

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Find a local CPA. Pay their fee and get their best advice. Anything less would be to risk being blind sided. Federal, state, and local governments will all likely get a slice, but some of the slices may have already been paid. CPA will know the rules where you live and be able to track down who is paid, who is owed and to advise you how to best proceed, making sure you pay the taxes due, while minimizing the tax burden.

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