LONG-TERM CAPITAL GAIN PROPERTY
01.Core Concepts
Intangible Personal Property and Real Property • Subject to 30% limitation. • Can qualify for 50% limitation by reducing the value of the gift by 100% of the gain (i.e., limiting the value to the basis). Tangible Personal Property • Used by donee in tax-exempt purpose • Entire fair market value at the date of the gift is deductible. • Subject to 30% AGI limitation. • Not used by donee in tax-exempt purpose • The fair market value of the gift must be reduced by 100% of the potential gain (i.e., value is limited to basis). • Subject to the 50% limitation.