Rita died on January 1,2014 owning an asset with a FMV of $730,000 that she purchased in 2010 for $600,000.Bert inherited the asset from Rita.When Bert sells the asset for $800,000 on August 20 of this year,he must recognize a

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Bert's basis in the asset is the FMV on the date of Rita's death, which is $730,000. When Bert sells the asset for $800,000, he recognizes a LTCG of $70,000 ($800,000 - $730,000).

Rita Died on January 1,2014 Owning an Asset with a FMV