A taxpayer acquired a building for use in a business on January 1, Year 2. On July 1, Year 3, the building was severely damaged by a storm. The taxpayer elected to treat the damage to the building as an involuntary conversion, used the insurance proceeds to construct a new building on the same site, and started construction on the new building on October 1, Year 3. The new building was completed on April 1, Year 4. When does the taxpayer's holding period in the new building begin? A taxpayer acquired a building for use in a business on January 1, Year 2. On July 1, Year 3, the building was severely damaged by a storm. The taxpayer elected to treat the damage to the building as an involuntary conversion, used the insurance proceeds to construct a new building on the same site, and started construction on the new building on October 1, Year 3. The new building was completed on April 1, Year 4. When does the taxpayer's holding period in the new building begin? October 1, Year 3

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Answer The holding period for the new building begi... View the full answer