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Actually this can happen. My wife is in the same boat. She will "Inherite" cash and stock from a family trust. Taxes will not be due when she gets it, but she will have to pay capital gains taxes on the stock when she sells them. The bases for the captial gains is what they were purchased for, not the value of the stock on the day she "inherites it." In my wife's case, the stock was bought back in the mid 70's, so she is looking at least paying taxes on 80% of the value. I told her she will be lucky if she walks away with 70 cents on the dollar.

Perhaps the word "enheritance" was misleading.

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