18) Taxpayer owns a building that she uses in her business. Taxpayer purchased the building several years ago for $230,000. On 29 August 2019, Taxpayer sells the building for $250,000 and pays $15,000 in selling expenses. Through the date of sale, Taxpayer has deducted a total of $46,000 in depreciation. Determine the amount and character of the gain or loss on the sale of the building.

FOR THE TAX YEAR 2019

A) $51,000 total section 1231 gain including $46,000 unrecaptured section 1250 gain

B) $46,000 section 1245 recapture and $5,000 section 1231 gain

C) $66,000 total section 1231 gain including $46,000 unrecaptured section 1250 gain

D) $46,000 section 1245 recapture and $20,000 section 1231 gain