Step-Up In Basis Rules For Appreciated Property – Will I Receive A Step-Up In Basis For The Appreciated Property I Inherited?

2026 · WILL I RECEIVE A STEP-UP IN BASIS
FOR THE APPRECIATED PROPERTY I INHERITED?
Both halves receive a step-up in basis to FMV if at least half is included in your spouse’s gross estate.Did you or your spouse gift the property you inherited to the decedent within one year before their death?Did you inherit the property from your spouse?YesNoNoYesSorry, there is no step-up in basis for the inherited property. You will receive the decedent’s adjusted basis.The property receives a step-up in basis to FMV based on the date selected earlier. Half the value receives a step-up in basis to FMV based on the date selected earlier. Full ownership passes to you.100% of the decedent's share receives a step-up in basis to FMV based on the date selected earlier. Ownership must be supported.Do you live in a community property state (Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, Wisconsin)?Was the alternate valuation date selected?Was the property sold before the alternate valuation date?Your cost basis is based on the FMV at the date of death.Your cost basis is based on the alternate valuation date (6 months after the date of death).Your cost basis is based on the value on the date it was sold.Is the property an IRA, 401(k), pension, annuity, or irrevocable trust?Is the property an IRA, 401(k), pension, annuity, or irrevocable trust?YesNoNoYesNoSorry, there is no step-up in basis for the inherited property.How was the property titled?Decedent sole ownerJTWROSTenants in CommonYesYesNoNoYesSTART HERE
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