2.05.2 Adjustment to Basis (2)

Question 問題、
In Year 1, Mr. Mason contracted for the construction of a building for use in his business. The costs that he incurred were as follows:
- Land $30,000
- Labor and material for construction of building $80,000
- Architect's fees $12,000
- Building permit fees $4,000
In Year 2, Mr. Mason had a casualty loss of $5,000 on this building, which was not covered by insurance. He claimed the loss as a deduction. Total depreciation claimed on the building through the end of Year 3 was $3,500. What is Mr. Mason's basis in the building on December 31, Year 3?

A. $83,500

B. $87,500

C. $92,500

D. $96,000

The correct answer is 正解は、[B. $87,500]
= 建物の取得価額 ($80,000 + $12,000 + $4,000) - 災害損失控除 $5,000 - 減価償却累計額 $3,500
土地の取得価額 $30,000は含まない。
（事業用資産の災害損失控除は、個人用資産と違い大災害地域に限定されず控除制限もなし。）