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Qualifying replacement property within the required time

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Reference no: EM131696335

Mike read in the newspaper that the town board had decided to take hisproperty for public use. Mike verified the news by phoning the assistant townsupervisor who is involved in the project acquiring his property. Rather thanwaiting for the town to begin the legal procedures to officially condemn theproperty, Mike sold it to Fred and realized a $10,000 gain. Mike can elect todefer the gain if he purchases qualifying replacement property within therequired time.

A) True

B) False

Reference no: EM131696335

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