Andy, 68, has a gross estate currently valued at $2,500,000 that consists primarily of highly appreciated growth securities. Within the last six months, andy transferred $500,000 worth of these securities to his wife, harriet. His cost in these securities was $200,000. Harriet recently died. The fair market value of the transferred securities at the time of her death was $500,000. The securities passed to andy under the terms of harriet's will. Which one of the following is an income tax implication of the transfer of stock?.