What Is My Basis For This Gifted Property I Received? – Will I Receive A Step-Up In Basis For This Gifted Property?

2026 · WHAT IS MY BASIS FOR THIS GIFTED PROPERTY I RECEIVED?
It is subject to the double basis rule. Your basis cannot be determined until the property is sold.Did you sell the property at a price greater than the donor’s adjusted basis?Did you sell the property at a price less than the fair market value at the time of the gift?You sold the property for a price between the donor’s adjusted basis and fair market value at the time of the gift.Sorry, there is no step-upin basis. The donor’s cost basis is carried over.Sorry, there is no step-up in basis. The donor’s cost basis is carried over.Sorry, there is no step-up in basis. The donor's cost basis is carried over.Your cost basis is increased by a portion of the federal gift tax paid based on the appreciation ratio (not to exceed the fair market value at the time of the gift).Sorry, there is no step-up in basis. The fair market value at the time of the gift is your basis.No gain or lossis recognized.Was federal gift tax paid by the donor?The donor’s cost basis is carried over but adjusted.NoYesYesNoNoYesYesNoNoYesIs the donor your spouse?Is the donor’s adjusted basis greater than the fair market value at the date of the gift?START HERE
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Birch Street Financial Advisors is an Investment Advisor registered with the State(s) of  Virginia.  All views, expressions, and opinions included in this communication are subject to change. This communication is not intended as an offer or solicitation to buy, hold or sell any financial instrument or investment advisory services. Any information provided has been obtained from sources considered reliable, but we do not guarantee the accuracy, or the completeness of, any description of securities, markets or developments mentioned. We may, from time to time, have a position in the securities mentioned and may execute transactions that may not be consistent with this communication's conclusions.  Please contact us at 703-319-8778 if there is any change in your financial situation, needs, goals or objectives, or if you wish to initiate any restrictions on the management of the account or modify existing restrictions. 
Joanne Burke, CFP®, CPA/PFS
705 Birch ST SW Vienna, VA 22180-6308
Joanne@Birchstreetadvisors.com | 703-319-8778 | www.Birchstreetadvisors.com