Investment assets acquired from a decedent receive a new income tax basis equal to their fair market value as of the decedent’s death. Until now, a decedent’s beneficiary could claim a basis greater than that reported on the estate tax return, avoiding a capital gain or related income tax on the difference.
The Epidemic of Financial Elder Abuse & Undue Influence
Investment assets acquired from a decedent receive a new income tax basis equal to their fair market[..]
At his presentation to the Sacramento Bar Association, Principal Ryan Szczepanik identifies a variety of tax pitfalls attorneys can fall into when resolving a dispute.