A client is executor of her parent's estate. The estate includes 1,000 shares of Apple stock purchased for $40/share and worth $180/share at death. The estate sells the shares 6 months later at $190/share. What is the tax treatment of the $10/share gain?
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A
Ordinary income of $10/share because the estate is selling the stock
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B
Long-term capital gain of $10/share due to the stepped-up basis at death
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C
Short-term capital gain of $10/share because held less than 12 months post-death
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D
No tax due because inherited assets are always tax-free