Which of the following is true regarding depreciation recapture?
A)Changes the character of a loss.
B)Changes the character of a gain.
C)Changes the amount of a gain.
D)Only applies to ordinary assets.
E)None of thesE.Depreciation recapture changes the character of the gain from §1231 to ordinary.

Question

Quizplus · Accepted Answer

Depreciation recapture changes the character of a gain from §1231 to ordinary. It does not affect losses, the amount of gain, or apply only to ordinary assets.

Which of the Following Is True Regarding Depreciation Recapture