Do I need to keep my home deed saying joint tenants right up until I sell my house, to assure that the aquisition cost can be bumped up to 100% due to my wife's death?

[edudasik]

How our names are shown on our home deed will affect aquisition 100% bump up due to spouses death?

[DaveF1006 · Accepted solution]

It depends on where you reside. The step-up basis depends on whether you live in a community property state or a common-law state. 

If you live in Community property states (AZ, CA, ID, LA, NV, NM, TX, WA, WI)

1. Married couples can hold property as community property. 
2. At the first spouse’s death, 100% of the property receives a step‑up in basis.
3. This applies even though each spouse technically owns half.
4. If the deed says “community property” or “community property with right of survivorship”, the IRS treats the entire property as one unified marital asset. 

If  Joint Tenancy with Right of Survivorship (JTWROS) for all other common-law states.

1. Each spouse owns 50%.
2. At death, only the deceased spouse’s 50% receives a step‑up.
3. The surviving spouse’s 50% keeps its original basis.
4. This is the standard rule for joint tenancy

All that matters is how the deed was titled up to your wife's death, regardless of whether or not you change it afterwards.

At this time, I would like to offer condolences for your loss.