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that Guaranteed did not even meet the less stringent requirements
of section 1.168-5(e)(3), Proposed Income Tax Regs., supra,
assuming arguendo they were otherwise applicable. Section 1.168-
5(e)(3) provides:
(3) Manner of making elections. Except as provided in
subparagraph (5), Form 4562 is provided for making an
election under this paragraph and for submitting the
information required. The taxpayer must specify in the
election--
(i) The name of the taxpayer;
(ii) The taxpayer's identification number;
(iii)The year the recovery property was placed in
service (or, in the case of 15-year real property, the
month the property was placed in service);
(iv) The unadjusted basis of the recovery
property; and
(v) Such other information as may be required.
An election will not be rendered invalid so long as there is
substantial compliance, in good faith, with the requirements
of subparagraph (3).
Statement 2 did not provide the year the rental property was
placed in service--in the "Date Acquired" column, Statement 2
says "VAR". In addition, Statement 2 did not provide the
unadjusted basis of the rental property--the "Cost or Basis"
column is blank.
Furthermore, section 1.168-5(e)(3), Proposed Income Tax
Regs., supra, states that Form 4562, Depreciation and
Amortization, is provided for making the election. The 1987
instructions for this form provide the following guidance for
line 9 of section C, Other Depreciation:
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