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systems and the dishwasher condensate return units constitute
personal property within the meaning of section 1.48-1(c), Income
Tax Regs., and therefore of section 1.1245-3(b), Income Tax Regs.
Respondent contends that the disputed property items are
structural components of the buildings to which they relate.
Respondent contends that the items are not unique to hospitals,
are adaptable to other uses, are securely attached to the
building structure, and provide more than incidental benefit and
comfort to petitioners' kitchen employees. Specifically,
respondent contends that the dishwasher condensate return unit is
more closely related to the boiler than the dishwasher.
In Morrison, Inc. v. Commissioner, T.C. Memo. 1986-129, we
held that the cafeterias' kitchen air ventilation system
constituted personal property, based on the "sole justification"
test of section 1.48-1(e)(2), Income Tax Regs. Respondent agrees
that the kitchen hoods and exhaust systems, but not the
dishwasher condensate return unit, are very similar to items
involved in Morrison.
For the reasons previously discussed in Morrison, Inc. v.
Commissioner, supra, we agree with petitioners that the kitchen
hoods and exhaust systems, as well as the dishwasher condensate
return units, satisfy the "sole justification" test of section
1.48-1(e)(2), Income Tax Regs. The evidence presented by
petitioners establishes that the kitchen hoods and exhaust
systems were installed only to meet temperature or humidity
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