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Level 1
June 5, 2019
Solved

Can tax liability for a gift of equity be offset by capital loss in the stock market?

  • June 5, 2019
  • 1 reply
  • 13 views
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Best answer by TomYoung

Why do you think a "gift of equity", i.e., the selling of property at less than fair market value to a relative or somebody with a close relationship to the seller, is taxable?  It's not, at least from an income tax perspective, though there could be Gift Tax consequences to the seller.  So there's nothing to "offset."

Tom Young

1 reply

TomYoungAlumni - ChampAnswer
Alumni - Champ
June 5, 2019

Why do you think a "gift of equity", i.e., the selling of property at less than fair market value to a relative or somebody with a close relationship to the seller, is taxable?  It's not, at least from an income tax perspective, though there could be Gift Tax consequences to the seller.  So there's nothing to "offset."

Tom Young

Level 15
June 5, 2019
**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**