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I bought several shares of some company in 86 that was bought by Medtronic in the 90s. The shares are currently worth 17,000. What if I sell them?

I know I can transfer assets to each of my children to the tune of 10,000 a year tax free. One of my kids is a student and I was wondering if I could transfer these stocks to him.

If he sold them, what would his taxes be?

"Without knowing what your basis in the shares is, we cannot answer your questions. Your kid would receive your basis and your holding period if you gifted them to him. We cannot tell you the amount of tax without the basis. Since it is all long term capital gains, it could either be at 10% or at 20% depending on your or your kid's marginal tax bracket."

Thank you, you pretty much answered the question. I bought these as penny stocks, maybe they cost a dollar. So the basis would be very low. Since his bracket would be lower, knowing the benefits of transferring are merely just a trip to the calculator.

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