That brings up the question of the cost basis when my son sold the stocks (there were two stocks). That link to the IRS is confusing so I’ll just give you the numbers.
stock1: My cost basis was 20, the FMV per share at transfer was 18, he sold at 17.
stock2: My cost basis was 12, the FMV per share at transfer was 10, he sold at 13.
Is his cost basis the FMV or was my cost basis supposed to be carried over to him?