It’s time to take another look at the stepped-up basis rules

Description

Abstract: Because of the generous federal gift and estate tax exemption, many families no long must worry about estate tax liability. This means that estate planning now has a stronger focus on income tax planning. And one of the most valuable tax planning areas is the “stepped-up basis” rule. This article explains capital gains rules and details the role the “stepped-up basis” rules play in an estate plan. A brief sidebar explains why lifetime gifts fall under a carryover basis rules regime.