Parker bought a brand new Ferrari on January 1,2014,for $125,000.Parker was fatally injured in an auto accident on June 23,2014,when the fair market value of the car was $105,000.Parker was driving a loaner car from the Ferrari dealership while his car was being serviced.In his will,Parker left the Ferrari to his best friend,Ryan.Ryan's holding period for the Ferrari begins on January 1,2014.

Question

Quizplus · Accepted Answer

Ryan's holding period in the Ferrari is automatically long term.Property acquired from a decedent is deemed to have a long-term holding period.

Parker Bought a Brand New Ferrari on January 1,2014,for $125,000