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Investors & landlords
Asset transferred to an irrevocable trust retain the donor's basis, though you need to know the FMV of the house at the time of the transfer. Basically dad made a gift to you and his basis carries over to the trust but "FMV" plays into the basis you'd actually use on the tax return. The tax won't be levied against the entire proceeds, just the profits.
‎July 5, 2019
9:25 AM