What is the tax base when you give stock as a gift. Is it the day ;you give the stock or the original base co?

Question

What is the tax base when you give stock as a gift. Is it the day ;you give the stock or the original base co?

Answer 1

You know what you need to know. So go to IRS.GOV type PUB 550 in the key words box. Look in chapter 4. Good luck

Answer 2

The basis of stock after a gift (not an inheritance) is always the giver's historical cost (or, if lower, the value of the stock on the date of the gift, for purposes of determining a loss when the donee sells the stock).



If gift tax was paid at the time of the gift, there may be an upward adjustment to the basis of the stock. Consult your tax advisor for assistance with this.



The link given in a previous answer deals with the amount allowable as a charitable deduction if the gift is to a charity. It has nothing to do with the question that was asked.

Answer 3

Depends on how long you had the stock. If less than a year, it is the original cost. If after a year, it is the value on the day of donation.

Answer 4

it would be different if you give it to charity vs. a family member. the 2 prior answers are answering it in different ways.



be more specific with you question.

Answer 5

it is your original cost