Upon the death of a taxpayer,which of the following statements is true?

Question

Quizplus · Accepted Answer

Capital property that is left to a spouse is deemed to be sold at cost, and all other capital property is deemed to be sold at market value. This is known as the "rollover provision" and allows for the tax on the capital gains to be deferred until the property is sold or transferred again. However, if the property is not left to a spouse, it is deemed to be sold at its fair market value, which may result in a taxable capital gain.

Upon the Death of a Taxpayer,which of the Following Statements