I had a follow-up question regarding how to fill out the 1099-B's that my mother's tax return will issue to the estate created upon her death.
- She had some stocks in a brokerage account. After her death, I sold the stocks. The 1099-B that I get from the brokerage will list these sales as if she was still living.
- I realize that these stocks will get a stepped-up cost basis equal to the FMV on the date of her death.
- I read that all these stocks that were sold after her death become long-term with respect to the holding period.
- I'm going to issue a 1099-B from her personal SSN to the estate
My question is:
1) should I list the new stepped-up basis on these 1099-B's in box 1e?
2) should i check box 2 as LT gain?
3) what date should I enter in box 1b? The date of her death?
4) I assume if I have to issue a 1099-B for every stock sale?
Or do I simply copy that portion of the brokerage 1099-B to these "new" 1099's and let the estate handle the changes?
