Betty, a single taxpayer with no dependents, has the gains and losses shown below. Before considering these transactions, Betty has $45,000 of other taxable income. What is the treatment of the gains and losses and what is Betty's taxable income?
$$\begin{array} { l r }
\S 1245 \text { gain \#1 } & \$ 8,000 \
\S 1245 \text { gain \#2 } & 5,000 \
\text { Busines5 equipment long-term casualty loss } & ( 8,000 ) \
\text { Busines5 real property long-term casualty gain } & 12,000 \
\S 1231 \text { gain } & 13,000 \
\S 1231 \text { lookback loss } & ( 2,000 )
\end{array}$$

Question

Betty, a single taxpayer with no dependents, has the gains and losses shown below. Before considering these transactions, Betty has $45,000 of other taxable income. What is the treatment of the gains and losses and what is Betty's taxable income?
 $$\begin{array} { l r } 
\S 1245 \text { gain \#1 } & \$ 8,000 \
\S 1245 \text { gain \#2 } & 5,000 \
\text { Busines5 equipment long-term casualty loss } & ( 8,000 ) \
\text { Busines5 real property long-term casualty gain } & 12,000 \
\S 1231 \text { gain } & 13,000 \
\S 1231 \text { lookback loss } & ( 2,000 )
\end{array}$$

Quizplus · Accepted Answer

The Answer of Betty, a single taxpayer with no dependents, has the gains and losses shown below. Before considering these transactions, Betty has $45,000 of other taxable income. What is the treatment of the gains and losses and what is Betty's taxable income?
 $$\begin{array} { l r } 
\S 1245 \text { gain \#1 } & \$ 8,000 \
\S 1245 \text { gain \#2 } & 5,000 \
\text { Busines5 equipment long-term casualty loss } & ( 8,000 ) \
\text { Busines5 real property long-term casualty gain } & 12,000 \
\S 1231 \text { gain } & 13,000 \
\S 1231 \text { lookback loss } & ( 2,000 )
\end{array}$$

Betty, a Single Taxpayer with No Dependents, Has the Gains