If a corporation elects to have a deemed disposition of a non-depreciable property whose fair market value is greater than its adjusted cost base prior to an acquisition of control, the elected value can be any value between the adjusted cost base and the fair market value of the property.

Question

Quizplus · Accepted Answer

This statement is true. A corporation can elect to have a deemed disposition of a non-depreciable property when there is an acquisition of control. The elected value can be any value between the adjusted cost base and the fair market value of the property.

If a Corporation Elects to Have a Deemed Disposition of a Non-Depreciable