A taxpayer sold for $200,000 equipment that had an adjusted basis of $180,000. Through the date of the sale, the taxpayer had deducted $30,000 of
A taxpayer sold for $200,000 equipment that had an adjusted basis of $180,000. Through the date of the sale, the taxpayer had deducted $30,000 of depreciation. Of this amount, $17,000 was in excess of straight-line depreciation. What amount of gain would be recaptured under Section 1245 (Gain from Dispositions of Certain Depreciable Property)?
a. $20,000
b. $30,000
c. $17,000
d. $13,000
Step by Step Solution
3.30 Rating (150 Votes )
There are 3 Steps involved in it
Step: 1
Choice A is correct Under Section 1245 the amount of depreciation in excess of straightline deprecia...
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Document Format ( 2 attachments)
60617e48d9857_487.pdf
180 KBs PDF File
60617e48d9857_487.docx
120 KBs Word File
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Authors: Ana M. Cruz Dr., Michael Deschamps, Frederick Niswander, Debra Prendergast, Dan Schisler, Jinhee Trone
12th Edition
1260091880, 1260091885, 1260158675, 978-1260158670
