What is a carryover basis? When will you receive property subject to a carryover basis? The video below has been prepared to provide additional information related to carryover basis. You may ask, why do I care about taking property subject to a carryover basis as opposed to a step up in basis? The simple answer would be, because the basis will dictate your gain when you sell, transfer or dispose of the asset. Thus, because your basis can change depending upon whether you take property subject to a carryover basis or a stepped up basis, these issues are important when consider gain and the tax implications of such a sale or exchange.
You can contact The McGuire Law Firm to discuss your tax, gift and estate related issues with a tax lawyer in Denver, Colorado. The McGuire Law Firm provides a free consultation with a tax attorney and/or estate planning attorney.