@Chris4198 wrote:
I've already started a detailed spreadsheet and have receipts for probably half the items. Many items were gifts or inherited over the last 40 years. Can I notate an item as a gift or inheritance then put a probable cost at time of receipt? I don't foresee making a profit on any of this, or just a minimal profit, but don't want to get in trouble for not having the right documentation.
All you can do is make the best list you can and hope for the best. The more reliable your information looks, the more likely it will be seen as reliable in the unlucky event you are audited. For inherited items, the cost basis is the fair market value on the date the previous owner died. For gifts, the cost basis is the price the giver paid.
