Do you know where I would put income from a gain on a sale of property that I received from my grandfather?

Schedule D.

If he gave you the property during his lifetime, your basis is the lesser of his basis or the fair market value of the property at the time of the gift, adjusted for any gift tax that he paid. If you received it by bequest from his estate after his passing, your basis is the fair market value on the date of his death.

Bostonian is correct. If you got the gift after he passed you get a "stepped up" basis on the asset to the value it was worth on the day he died. A gain would go on Schedule D. Here is a link to a helpful article:

http://www.wwlaw.com/stepup.htm

Sch D