Sale in a NOT COMMUNITY PROPERTY STATE

[lydia33]

In speaking with my client the sale was not in a community property state. The land was purchased during the marriage in 1959. Husband died 3 years ago and all property went to wife. Does she get a stepped up basis on the half that she received at his death? They payed $8000. for the property in 1959 and she sold it in 2008 for $105,000.

[mcb39]

In speaking with my client the sale was not in a community property state. The land was purchased during the marriage in 1959. Husband died 3 years ago and all property went to wife. Does she get a stepped up basis on the half that she received at his death? They payed $8000. for the property in 1959 and she sold it in 2008 for $105,000.

Yes, she gets a stepped up basis for his half to the value on the day that he died.