### Question
How does Corporate Distributions and Adjustments define section 341 assets?


### Answer
Under *26 U.S.C. § 341*, **section 341 assets** is defined as:

> property held for a period of less than 3 years which is—


(A) stock in trade of the corporation, or other property of a kind which would properly be included in the inventory of the corporation if on hand at the close of the taxable year

#### Citation:
  - *26 U.S.C. § 341*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter C-Corporate Distributions and Adjustments > PART II-CORPORATE LIQUIDATIONS > Subpart C-Collapsible Corporations**

