Lena owns a widget factory with an adjusted basis of $200,000. In 2019, her factory was destroyed by an earthquake. Lena receives $250,000 in insurance proceeds. Lena uses all $250,000 of those proceeds to purchase a new widget factory. If Lena makes a valid Section 1033 election, how much gain will she have to recognize?

Answer rating: 100% (QA)

The Section 1033 election of the Internal Revenue Code allows for the deferral of recognition of gai... View the full answer