Lisa sold her home this year, and is preparing her income tax return. She sold the house for $400,000. It was purchased for $300,000 eight years ago. She ran a business from home, using one room regularly and exclusively for business purposes. Over the eight year holding period, she claimed $10,000 of depreciation deductions on her home office. She is in the 32% tax bracket. How much will she pay on taxes on the sale of her home? 

$0 O 

$3,200  

$2,500 

$16,500