Dan sells his manufacturing plant and land originally purchased in 1980. Accelerated depreciation had been taken on the building, but the building is now fully depreciated. Dan is in the 39.6 percent marginal tax bracket this year 2016. Other information is as follows:

Property	Original Cost	Total Depreciation	Adjusted Basis	Selling Price
Plant Building	$2,800,000	$2,800,000	0	$3,200,000
Land	$500,000	N/A	$500,000	$800,000

Dan has not sold any other assets in 2016. A review of Dans files shows that the only other dispositions of business assets in the past five years was a truck sold for a $12,000 loss last year. Give the amount and character of Dans gains on the sale and the applicable tax rates at which those gains will be taxed in 2016.