Income tax basis can be important when deciding whether to make gifts now or transfer property at your death. This is because the income tax basis of the person receiving the property depends on whether the transfer is by gift or at death. This, in turn, affects the amount of taxable gain subject to income tax when the person sells the property.
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My wife and I will both retire next year at 64. Her Social Security is about $12,000 and mine is about $24,000. We will also be drawing about $50,000 out of our IRAs... Read Answer