Although some have argued strongly to the contrary, it was clear for decades even before the statute1 was amended in 19782 that the income tax basis of property in the hands of those acquiring property passing from a decedent was – (1) the fair market value of the property at the date of the decedents’ death; the value established by alternate valuation;3 or the value derived from special use valuation.4 Those provisions have not allowed the setting of income tax basis for property acquired from a decedent to wait months if not years before committing to the new income tax basis figure for property acquired earlier from a decedent. Some of those arguing to the contrary have voiced opposition to the 2015 move to require reporting of income tax basis information to the Internal Revenue Service and to all of those acquiring any interest in property from the decedent if a Form 706 is required to be filed.5



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