Which of the Following Satisfy the Time Period Requirement for Postponement

question 118

Multiple Choice

Which of the following satisfy the time period requirement for postponement of gain as a § 1033 (nonrecognition of gain from an involuntary conversion) involuntary conversion?

• A)Al's business warehouse is destroyed by a tornado on October 31,2016.Al is a calendar year taxpayer.He receives insurance proceeds on December 5,2016.He reinvests the proceeds in another warehouse to be used in his business on December 29,2018.
• B)Heather's personal residence is destroyed by fire on October 31,2016.She is a calendar year taxpayer.She receives insurance proceeds on December 5,2016.She purchases another principal residence with the proceeds on October 31,2018.
• C)Mack's office building is condemned by the city as part of a road construction project.The date of the condemnation is October 31,2016.He is a calendar year taxpayer.He receives condemnation proceeds from the city on that date.He purchases another office building with the proceeds on December 5,2019.
• D)Lizzy's business automobile is destroyed in an accident on October 31,2016.Lizzy is a fiscal year taxpayer with the fiscal year ending on June 30th.She receives insurance proceeds on December 5,2016.She purchases another business automobile with the proceeds on June 1,2019.
• E)All of the above.