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r/tax • … • u/ronnevee

Stepped up basis question on property held in a llc

My dad owns a farm that he lives on. 10 years ago he put it into a life estate, since he was worried about medicare taking the property. Then he did something where he has the property owned by a llc. He can't find anything showing who owns the llc though. To his knowledge, it is owned by the children. No proof of that though, that we can find. With the BOI report coming up, I imagine we will need to sort this mess out.

For the stepped up basis at death, what do we need to consider? If the property is owned by a llc that is owned by the children, does this mess up the stepped up basis at the time of death?

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