HI, we are currently living in the US and I am married to a spaniard and her mom died last December, 2010. Her sister who lives in Malaga Spain is selling her moms house and we they are looking to sell the house for $75,000 euros. We are looking to split that amount with my wife’s sister for $37,500 which would convert to American dollars of around $54,000. My question is what we could expect to pay in taxes in Spain and if we are obligated to pay capital gains tax on our half of the portion we are to receive.

We also want to know the implications of taxes in the USA and everything that I have seen we would not have to pay any tax for sale of real estate overseas. I appreciate your help on this.

Thanks,