Jon made a gift of property to his cousin, Ralph. Jon paid a gift tax of $$40,000.$ Jon's basis in the property at the time of the gift was $$217,000.$ The fair market value of the property on the date of the gift is $$817,000.$ Assume that the annual exclusion for the year is $$17,000.$ What is Ralph's income tax basis for the property?

$$217,000$ for gain or loss

$$247,000$ for gain and $$217,000$ for loss.

$$247\mathrm{.}000$ for gain or loss.

$$257,000$ for gain or loss.

None of the above.