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ProNam 1 (LO. 1) Heron Company purchases commercialty on November 13, 2002, for $850,000. Strigine depreciation of 287,422 is nimed before the property is sold

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ProNam 1 (LO. 1) Heron Company purchases commercialty on November 13, 2002, for $850,000. Strigine depreciation of 287,422 is nimed before the property is sold on February 22, 2020, for $850,000 What are the tax nequences of the freely Heron () Corporation and (b) se proprietorship? Heron is corporation, what is the amount och type of gain reengrired? IT an amounts, enter". Round your answers to the nearest deltar. Character of Ban Ordinary income under 1245 Ordinary incore under 5 1250 Ordinary income under 291 $1231 gain Total recognized gain Chew In general, the recapture rules under Sections 1245 and 1250 are equally applicable to both individual and corporate taxpayers. However, corporations may have more depreciation recapture (ordinary income) on the disposition of 5 1250 property than individuals. b. If Heron is a sole proprietorship, what is the amount of each type of gain recognized? Character of Gain Ordinary income under 1245 Ordinary income under 1250 S Ordinary income under 5 291 1231 gain Total recognized gain ProNam 1 (LO. 1) Heron Company purchases commercialty on November 13, 2002, for $850,000. Strigine depreciation of 287,422 is nimed before the property is sold on February 22, 2020, for $850,000 What are the tax nequences of the freely Heron () Corporation and (b) se proprietorship? Heron is corporation, what is the amount och type of gain reengrired? IT an amounts, enter". Round your answers to the nearest deltar. Character of Ban Ordinary income under 1245 Ordinary incore under 5 1250 Ordinary income under 291 $1231 gain Total recognized gain Chew In general, the recapture rules under Sections 1245 and 1250 are equally applicable to both individual and corporate taxpayers. However, corporations may have more depreciation recapture (ordinary income) on the disposition of 5 1250 property than individuals. b. If Heron is a sole proprietorship, what is the amount of each type of gain recognized? Character of Gain Ordinary income under 1245 Ordinary income under 1250 S Ordinary income under 5 291 1231 gain Total recognized gain

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