Some years ago a relative inherited some raw land. It is completely vacant and was so while owned by the decedent as well.
The land wan't being rented out or anything by the decedent and was not rented out by my relative.
Finally, after years of trying, the relative managed to sell the land. There's going to be a loss of at least the amount of real estate commission since land prices in that area did not go up since the inheritance.
My question -- is this an allowable capital loss or not? Certainly the land was not being used for any business purpose.
But since it was not being used for a personal purpose (neither decedent nor heir lived on it, recreated on it, extracted resources from it, etc.) can it legitimately be claimed that the heir was holding the land for investment, and therefore it is not personal use and the loss is allowable?