- 12 - of Committee Discussion Draft of Revenue Bill of 1961, at 9 (J. Comm. Print 1961)). We nevertheless held that, in deciding whether the mobile homes at issue were used predominantly for lodging, the key factor was the alternative to company-paid accommodations their inhabitants would likely have bought. We reasoned that “they are nonetheless used by individuals to replace assets that clearly would not be [qualifying property]-- if * * * housing were not provided to the * * * employees, those employees would be forced to either rent or buy other housing.” Id. This substitute housing, it was implied, could not be qualifying property because it was residential real estate. Of course, from Union Pacific’s viewpoint, the mobile homes were part of its productive investment, even if they were also used for lodging. Union Pacific is thus some guide to the general problem of how to characterize property capable of two simultaneous uses. As in Union Pacific, we must ask what Shirley’s customers would have had to buy or rent if motor homes were not available. If these substitute goods would be allowed as qualifying property under section 50(b), then so would motor homes. Shirley’s customers, unlike the railway workers in Union Pacific, would need as substitute goods some combination of both lodging and transportation. If a car or truck were rented to customers to provide them with the mobility of a motor home, those vehiclesPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Next
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