Congress repealed the step-up in basis rule in the Tax Reform Act of 1976, replacing it with a carryover basis rule where the heir's basis is the same as the decedent's basis, meaning taxable capital gains on an asset are not affected by inheritance.

Authors

• Person: Not available Organization: Center for American Progress
  How the Government Subsidizes Wealth Inequality

Sources

• How the Government Subsidizes Wealth Inequality www.americanprogress.org Center for American Progress via serper

Referenced by nodes (2)

• step-up in basis concept
• Congress entity