Basis is stepped down as well. Was this fund held at a different brokerage? Did anyone tell them he died?I'd apreciate some advice on taxability of inherited trust funds.
My stepfather died in 2014. He had some assets in a trust. Most funds got distributed in 2014, but one fund did not (no one knows why). No one knows when he bought the shares or for how much, but at the time of death, they were worth $16,000. When the fund was discovered and distributed last year, the value was $20,000, split between my sister and me. I thought we would both owe capital gains on $2000 each.
However, the 1099-B from the investment management company shows a LOSS of about $1200. I assume that means that the initial investment was about $21,200, but I have no way of knowing.
Does that mean we do NOT owe capital gains?
Does the thing where you get a stepped-up basis that reduces gains based on date of death when there's a gain - does that not apply when there's a loss?
Thanks for your help.
Follow up question though: did this fund distribute any dividends? In all this time?
Statistics: Posted by toddthebod — Thu Apr 04, 2024 12:08 am — Replies 1 — Views 104