Stock Basis

Collapse
X
 
  • Time
  • Show
Clear All
new posts
  • Donanita
    Senior Member
    • Aug 2005
    • 250

    #1

    Stock Basis

    Client's spouse died 6 yrs ago and owned stock.Stock wasn't included in succession. Stock company has now reclaimed stock and issued in spouse ss# which has been changed to client's Client has no idea what was paid for the stock when aquired but can they get a stepped up basis for 1/2 gross proceeds as in a community property state and client inherited spouse 1/2 or will they just have to oay taxes on all the gross.
  • Bees Knees
    Senior Member
    • May 2005
    • 5456

    #2
    Since the stock was owned solely in the deceased spouse's name, the surviving spouse gets full step up of basis.

    That is one of the reasons why for estate tax planning purposes, spouses should not own everything as joint tenants.

    Comment

    Working...