Overview

When end-users receive transfers that are gifts on your platform, the initial acquisition information of the transaction will be considered "missing cost basis". As a result, gains and losses cannot be accurately calculated.

Taxbit supports Inheritance transfers and can apply the appropriate basis.

Creating Inheritance Deposits

To create an Inheritance Withdraw, you must create a deposit transaction withsubtype = inheritance. The rates field should be included and equal to the FMV at the time of death (or the alternative valuation date)

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A disposition of an inheritance would leverage the new basis, and always be considered long-term