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section 1231(b)(1)(B), which contains nearly identical
language. See Cottle v. Commissioner, 89 T.C. 467, 485-486
(1987).
In deciding whether a particular piece of real
property is held for sale to customers in the ordinary
course of a taxpayer's trade or business, courts have
considered the following factors:
(1) the nature and purpose of the acquisition of
the property and the duration of the ownership;
(2) the extent and nature of the taxpayer's
efforts to sell the property; (3) the number,
extent, continuity and substantiality of the
sales; (4) the extent of subdividing, developing,
and advertising to increase sales; (5) the use of
a business office for the sale of the property;
(6) the character and degree of supervision or
control exercised by the taxpayer over any
representative selling the property; and (7) the
time and effort the taxpayer habitually devoted
to the sales. * * * [United States v. Winthrop,
417 F.2d 905, 910 (5th Cir. 1969).]
See also Major Realty Corp. and Subsidiaries
v. Commissioner, 749 F.2d 1483, 1488 (11th Cir.
1985), affg. and revg. on another issue a
Memorandum Opinion of this Court; Daugherty v.
Commissioner, 78 T.C. at 629. * * *
Cottle v. Commissioner, supra at 487 (fn. ref. omitted);
see Thrift v. Commissioner, 15 T.C. 366, 369 (1950).
With respect to each of the years in issue, if the
interest on petitioner's purchase money obligations is
treated as "rents" and, thus, is included in "adjusted
income from rents", as defined by section 543(b)(3), then
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