My dad gifted my an empty parcel and I want to turn around and sell it. Since its a gift, do I receive his original cost basis back when he bought the land AND receive his HOLDING PERIOD as well? This is important because the holding period will dictate the taxes owed (Long Term or Short Term)?
Example: Dad bought property in year 2010 for 100K and gifted it to me in year January, 2020. I sell it February 2020 for 200K. Would I owe 15% Long Term capital gains tax on the 100K (200k selling price - 100k dads original cost basis)? Tax liability of $15,000?
