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Hello and thank you for using Just Answer,As the mother gifted the property, the basis transfers to the daughter. Were the daughter to gift the property to the mother the same would apply. There is a step up in basis when someone inherits property. The care given by the daughter would not be deemed payment for the property because the transfer was made as a gift. The basis in the property is not the $10 it is the cost that the mother had in the property.
Well the deed said "and other consideration" as payment That is a standard used in those types of transfers. For tax purposes it does not have any bearing and when property is transferred far below it's fair market value, for taxes, it is a gift.That means the receiver has the same basis as the giver. The giver is required to report if the gift is more then the yearly limit (2012 that was $13,000).
The daughter has the same basis that the mother had when she made the gift. Transfers at death do receive a step up in basis.