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Trishala Raj
Oct 4, 2020, 07:54 PM
What if a parent gifts real property to a child? My name was included in 25% of the title Of land when my dad was alive. When my dad died, I received the remaining 75% to the land. Now after 15 years, I sell the land. What is my cost basis to the land?

AtlantaTaxExpert
Oct 4, 2020, 08:58 PM
When the land is a gift from parent to child, the cost basis is what the PARENT paid for the land.

Trishala Raj
Oct 4, 2020, 09:05 PM
So for Cost basis 25% is the cost the parents paid And 75% is the fmv on date of inheritance?

https://www.law.cornell.edu/cfr/text/26/1.1014-6

AtlantaTaxExpert
Oct 4, 2020, 09:40 PM
Yes, that is correct