A retail building used in the business of a sole proprietor is sold on March 10, 2017, for $342,000. The building was acquired in 2007 for $400,000 and straight-line depreciation of $104,000 had been taken on the building. What is the maximum unrecaptured § 1250 gain from the disposition of this building?
A)$400,000
B)$322,000
C)$104,000
D)$26,000
E)None of the above

Question

Quizplus · Accepted Answer

The maximum unrecaptured § 1250 gain is the amount of depreciation taken on the building, which is $104,000.

A Retail Building Used in the Business of a Sole