Question
Kanye, a calendar year taxpayer, owns a restaurant supply business (adjusted basis of $190,000). The business is destroyed by a tornado on September 27, 2018.
Kanye, a calendar year taxpayer, owns a restaurant supply business (adjusted basis of $190,000). The business is destroyed by a tornado on September 27, 2018. Kanye receives insurance proceeds of $245,000 on February 5, 2019. What is the latest date Kanye can reinvest the proceeds in qualified property to avoid recognition of any realized gain?
Group of answer choices:
September 27, 2020
February 5, 2021
December 31, 2020
December 31, 2021
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Intermediate Accounting
Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones
10th Edition
978-0324300987
