Inherited stocks get a basis reset to market value at the owner's death, reducing capital gains tax on future sales. Heirs cannot use losses prior to the original owner's death to offset other ...

Buy low and sell high is one of the most fundamental rules of stock investing. Knowing the cost basis of the stocks you purchase can help you estimate your potential profit should you decide to sell.

People invest with the hope of earning a return over time. But what happens when you choose to sell? Cost basis is key to understanding your tax obligations and the true profit of your investments.

The cost basis of a stock is the value of that stock or asset at a certain time, usually the time of purchase. It's normally calculated for tax purposes, so it's important to understand the factors ...

Calculating the cost basis of an investment is important for tax purposes Kesavan Balasubramaniam is a freelance writer who covers a wide array of investing topics, including retirement, FX trading, ...

Chad Langager is a co-founder of Second Summit Ventures. He started as an intern at Investopedia.com, eventually leaving for the startup scene. Katrina Ávila Munichiello is an experienced editor, ...

The biggest hurdle that investors face is paying tax on the gains on their long-term investments. Yet the tax laws actually give heirs a huge tax break when they inherit shares of stock or other ...

I bought shares of GTE nearly 50 years ago, and it eventually became Verizon stock. I’m trying to figure out what the cost basis would be if I sell the shares, but I am having a hard time because of ...