- 20 - 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:Page: Previous 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 Next
Last modified: May 25, 2011