Sergio sold a residential rental building for a gain of $20,000. He had originall purchased the building and placed it into service In March 2015 (for simplicity, the sale of land is not included in this question) The amount of depreciation allowed or allowable was $ 14,175. There were no other adjustments to the basis of the property, and Sergio did not sell any other property during the year. What is the amount and nature of Sergio's gain?.

A, $5825 gain taxed as long-term capital gain, and $14,175 gain taxed at a maximum of 25%.

B, $5,825 gain taxed at a maximum of 25% and $14,175 gain taxed as a long-term capital capital gain.

C $20,000 gain taxed as a long-serm capital gain.

D $20,000 gain taxed as a long-term taxed at a maximum of 25%