My wife and I recently inherited some stocks. We are interested in selling some of them.
The date of death was 12/26/22. When the stocks were transferred to our broker the cost basis date became 12/26/22. The broker, therefore, currently shows this as short term.
It is my understanding that inherited stocks automatically are considered long term, regardless of how long we hold them. So I am reluctant to sell them because I’m concerned that the 2023 1099 that my broker will issue will tell the IRS that the gains/losses are short term. And, of course, it is to my advantage to show these as long term, not short term
I would appreciate any advice that readers could share.
