Submitted by beckagrosst t3_zyglbm in personalfinance
RascalRibs t1_j25pn7j wrote
Those sales were all profit for you. You had no cost basis.
freddie_the_mercury t1_j25qs0i wrote
I disagree. when the laptop was gifted it had value. I believe when an item is gifted you inherit the giver's cost basis. I would use the $1000 as the cost basis.
beckagrosst OP t1_j25r6ow wrote
This is what I've heard too, but am unsure how to verify this.
freddie_the_mercury t1_j25udgn wrote
I believe the cost basis explanation applies for more than real property. It is referenced in a turbotax questions here regarding your exact scenario:
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