### Question
How is the "appreciated property" defined?


### Answer
The term **appreciated property** is defined in *26 U.S.C. § 1014* as follows -

> any property if the fair market value of such property on the day it was transferred to the decedent by gift exceeds its adjusted basis

#### Citation:
  - *26 U.S.C. § 1014*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter O-Gain or Loss on Disposition of Property > PART II-BASIS RULES OF GENERAL APPLICATION**

