Time of acquisition
(iii) Time of acquisition. For purposes of applying performance and quality standards, the time of acquisition is the date the taxpayer enters into a binding contract (defined in paragraph (c)(2)(iv) of this section) to acquire the property, or, in the case of property constructed, reconstructed, or erected by the taxpayer, the earlier of the date that (A) The taxpayer begins construction, reconstruction, or erection of the property, or (B) The taxpayer and another person enter into a binding contract (as defined in paragraph (c)(2)(iv) of this section) requiring the other person to construct, reconstruct, or erect property and to place the property in service for an agreed upon use. (iv) Binding contract. For purposes of this paragraph (c)(2), whether a contract is binding is determined based on the rules described in 1.168(k)-2(b)(5)(iii)(A).