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I extrapolated it. The top bracket for me would be 44 percent combined. Is the formula incorrect?
Stephen E. Grizey : Essentially, your father was in the business of farming and had he sold that grain in the ordinary course of business, it would have generated ordinary income.
Stephen E. Grizey : Therefore, the gain (Income in Respect of a Decedent) is taxable as an asset of the estate for estate tax purposes (of course for 2012 his estate & lifetime gifts in excess of the annual exclusions (if any) would have to total $5,000,000. before any estate tax would be due.
Stephen E. Grizey : However, for income tax purposes, whomever receives the proceeds of the sale of the corn will pay ordinary income taxes on 100% of the proceeds of the sale of the grain & soybeans less any business expenses of the farm.
Stephen E. Grizey : In prior questions that you have asked here; the respondents have been advising you as if the grain & soybeans were investments rather than business inventory. That's why they were talking about a step-up in tax basis; that doesn't apply to your circumstances as I (and I guess your attorney) interpret the facts.