Why Is It Generally Undesirable to Pass Property by Death

question 73

Essay

Why is it generally undesirable to pass property by death when its fair market value is less than basis?

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Definitions:

Dedicated Funding

A financial strategy where specific funds are allocated for a particular purpose or project.

Capital Project

Long-term investment projects undertaken by a company to build, add or improve on its capital assets.

Book Values

The net value of a company's assets, excluding any liabilities, typically used to determine its financial strength.

Market Values

The current cost at which assets or services are traded on the open market.