Hospital Corporation of America and Subsidiaries - Page 67

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          168(g)(4).  Section 1250(c) defines section 1250 property to mean           
          "any real property (other than section 1245 property, as defined            
          in section 1245(a)(3))".  Section 1245(a)(3)(C) includes                    
          elevators and escalators within the definition of section 1245              
          property.                                                                   
               Section 1.1250-1(e)(3)(i), Income Tax Regs., defines real              
          property to include the structural components of a building                 
          within the meaning of section 1.1245-3(c), Income Tax Regs.,                
          which provides in pertinent part that "the terms 'building' and             
          'structural components' shall have the meanings assigned to those           
          terms in paragraph (e) of � 1.48-1."37                                      



          37   Sec. 1.48-1(e)(2) provides in pertinent part as follows:               
               (2)  The term "structural components" includes such parts of           
               a building as walls, partitions, floors, and ceilings, as              
               well as any permanent coverings therefor such as paneling or           
               tiling; windows and doors; all components (whether in, on,             
               or adjacent to the building) of a central air conditioning             
               or heating system, including motors, compressors, pipes and            
               ducts; plumbing and plumbing fixtures, such as sinks and               
               bathtubs; electric wiring and lighting fixtures; chimneys;             
               stairs, escalators, and elevators, including all components            
               thereof; sprinkler systems; fire escapes; and other                    
               components relating to the operation or maintenance of a               
               building.  However, the term "structural components" does              
               not include machinery the sole justification for the                   
               installation of which is the fact that such machinery is               
               required to meet temperature or humidity requirements which            
               are essential for the operation of other machinery or the              
               processing of materials or foodstuffs.  Machinery may meet             
               the "sole justification" test provided by the preceding                
               sentence even though it incidentally provides for the                  
               comfort of employees, or serves, to an insubstantial degree,           
               areas where such temperature or humidity requirements are              
               not essential. * * *                                                   



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Last modified: May 25, 2011