The ‘somehow’ is the stepped up basis upon death loophole: https://www.thebalance.com/how-the-stepped-up-basis-loophole...
The cost basis of an asset when inherited is set to the value on the day the owner died.
The ‘somehow’ is the stepped up basis upon death loophole: https://www.thebalance.com/how-the-stepped-up-basis-loophole...
The cost basis of an asset when inherited is set to the value on the day the owner died.