2 ms·
Tax basis is based on what you paid for an item, not what it's theoretically "worth". If I buy an item that's "theoretically worth $10M" for $N, my basis in it
by sokoloff 3y ago
Tax basis is based on what you paid for an item, not what it's theoretically "worth".
If I buy an item that's "theoretically worth $10M" for $N, my basis in it is $N, not $10M.
- ThunderSizzle 3y agoYes, that's how the current rules work. The rules are wrong, but you are correct on how they currently work. The fact that tax basis doesn't account for inflation is an intentional hidden tax and another example of evil against the population.