The basis in property acquired by inheritance is normally its fair market value at the date of the
decedent's death.

Question

Quizplus · Accepted Answer

The basis of property acquired by inheritance is generally the fair market value of the property on the date of the decedent's death, according to the Internal Revenue Code. This rule allows for a "step-up" in basis, potentially reducing capital gains tax if the property is sold by the heir.

The Basis in Property Acquired by Inheritance Is Normally Its