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Franklin's net Section 1231 gains and losses reported for the past five years are presented below. 2015: $15,000 2016: $12,000 2017: $5,000 2018: (28,000) 2019:
Franklin's net Section 1231 gains and losses reported for the past five years are presented below. 2015: $15,000 2016: $12,000 2017: $5,000 2018: (28,000) 2019: (13,000) In 2020, Franklin has a $15,000 net Section 1231 gain. What amounts and character of income will Franklin ultimately report in 2020 as a result of this net Section 1231 gain?
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$6,000 LTCG; $9,000 ordinary income.
$15,000 ordinary income.
$15,000 Section 1231 gain.
$9,000 LTCG
$6,000 ordinary income.
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