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of ownership.17 Suburban Realty Co. v. United States, supra at
183.
We first note that sales increased in the years at issue for
understandable reasons. Mr. Taylor died unexpectedly at age 60,
and petitioner’s board agreed to redeem the shares of DTE under
section 303 that Mr. Taylor owned before his death. The increase
in sales does not negate a finding that the cars were previously
held for sale. Petitioner explains that the dealership sold
fewer classic cars in the earlier years because it was in the
nascent phase of building inventory, restoring the cars,
establishing a reputation, and publicizing the classic cars to
potential clientele, but that the cars were nonetheless held for
sale at all times.18 We found testimony for the dealership
compelling, and find the total number of sales, 80 sales over 12
years, and 69 sales over the 2 years at issue, sufficiently
frequent to support a finding that the classic cars were held for
sale. This factor favors petitioner.
17We also note that we need not decide the “precise moment”
that the cars were held for sale under Fifth Circuit caselaw.
See Suburban Realty Co. v. United States, 615 F.2d 171, 184 n.36
(5th Cir. 1980).
18Specifically, four were sold in 1990, three were sold in
1991, three were sold in 1997, one was sold in 1998, and the
remainder were sold in 1999 and 2000.
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