How Is an Inheritance Reported on an Income Tax Return?

What should you know about How Is an Inheritance Reported on an Income Tax Return? Explore the insights here.

The basis of property inherited from a decedent is generally one of the following: The fair market value (FMV) of the property on the date of the decedent’s death (whether or not the executor of the estate files an estate tax return (Form 706, United States Estate (and Generation-Skipping Transfer) Tax Return)).