Tobin Inherited 100 Acres of Land on the Death of His

question 23

Multiple Choice

Tobin inherited 100 acres of land on the death of his father in 2015.A Federal estate tax return was filed and the land was valued at $300,000 (its fair market value at the date of the death) .The father had originally acquired the land in 1972 for $19,000 and prior to his death had made permanent improvements of $6,000.What is Tobin's basis in the land?

• A)$19,000
• B)$25,000
• C)$300,000
• D)$325,000
• E)None of the above