Gains and losses resulting from condemnations of Sec.1231 property and capital assets held more than one year are classified as ordinary gains and losses.

Question

Quizplus · Accepted Answer

Gains and losses from condemnations of Sec. 1231 property held for more than one year are treated as Sec. 1231 gains and losses, which can be classified as capital gains and ordinary losses, not ordinary gains and losses.

Gains and Losses Resulting from Condemnations of Sec