On an Involuntary Conversion in Which the Taxpayer Does Not

Multiple Choice

On an involuntary conversion in which the taxpayer does not buy replacement property within the replacement period,the gain on the involuntary conversion and any tax due must be reported:

A) In the year the replacement period expires.
B) In the year the involuntary conversion occurred.
C) Never,because the tax year of the conversion would be closed.
D) As soon as the taxpayer knows replacement property will not be purchased.