Ed and Cheryl Have Been Married for 27 Years

question 205

Essay

Ed and Cheryl have been married for 27 years. They own land jointly with a basis of $300,000. Ed dies in 2019, when the fair market value of the land is $500,000. Under the joint ownership arrangement, the land passed to Cheryl.
a. If Ed and Cheryl reside in a community property state, what is Cheryl's basis in the land?
b. If Ed and Cheryl reside in a common law state, what is Cheryl's basis in the land?

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Definitions:

Interval Recording

A method of behavioral observation that involves recording the presence or absence of a behavior within specific time intervals.

Scapegoat

The practice of singling out any party for unmerited negative treatment or blame.

Negative Attention

Undesirable or adverse focus or scrutiny that can lead to harmful or detrimental effects.

Host

An entity that provides resources or services to other entities, often in the context of computer networks or biological symbiosis.