Incentive For Taxpayers
Because of this provision, any appreciation of the affected property that occurred during the decedent's lifetime will never be taxed. Thus, this provision provides an incentive for taxpayers to retain appreciated property until death and sell depreciated property while they are alive.
Read more about this topic: Stepped-up Basis
Famous quotes containing the word incentive:
“Above all, though, children are linked to adults by the simple fact that they are in process of turning into them. For this they may be forgiven much. Children are bound to be inferior to adults, or there is no incentive to grow up.”
—Philip Larkin (1922–1986)