Step-Up at Death but Not for Income
7 Pages Posted: 10 Nov 2017 Last revised: 6 Dec 2017
Date Written: August 21, 2017
The article argues that the definition of property for the purposes of the Internal Revenue Code, section 1014 (step-up in basis at death) should include only capital interests and that ordinary income items – including compensation, things made or improved by the decedent, and inventory – should not get a step-up in basis at death. This proposal is the second of three Shelf Projects designed to prune back the basis step-up under section 1014.
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