California Code of Regulations
Title 18 - Public Revenues
Division 2.5 - State Controller
Chapter 1 - Inheritance Tax
Article 6 - Valuation
Section 13951.4 - Listed Securities and Unlisted Securities Traded on Open Market
Current through Register 2024 Notice Reg. No. 12, March 22, 2024
(a) Selling Prices.
In the case of stocks or bonds which have a market, on a stock exchange, in an over-the-counter market, or otherwise, the mean between the highest and lowest quoted selling prices on the date of the transferor's death will be deemed the market value per share or bond.
If there were no sales on the date of the transferor's death, but there were sales on dates within a reasonable period both before and after the date of death, the market value is determined:
(b) Bid and Asked Prices.
If the provisions of subsection (a) of this regulation are inapplicable because actual sales are not available during a reasonable period beginning before and ending after the date of death, the market value may be determined by taking the mean between the bona fide bid and asked prices on the date of death, or if none:
(c) Incomplete Selling Prices or Bid and Asked Prices.
If the provisions of subdivisions (a) and (b) of this regulation are inapplicable because no actual sale prices or bona fide bid and asked prices are available on a date within a reasonable period before the date of death, but such prices are available on a date within a reasonable period after the date of death, or vice versa, then the mean between the highest and lowest of such sale prices or between such bid and asked prices may be taken as the market value.
(d) Securities Listed on More Than One Exchange.
If a stock or bond is listed on more than one exchange, the records of the exchange where the stock or bond is principally dealt in should be employed in ascertaining market value.
NOTE: Reference: Section 13951, Revenue and Taxation Code.