A Taxpayer Sells a Patent on a New Algorithm for a Gain

A taxpayer sells a patent on a new algorithm for a gain. Which taxpayer will be allowed capital gain treatment for the sale? Assume that the patent had not been placed in service as of the acquisition date.

A) a corporation who purchased the patent from the inventor
B) a sole proprietor who purchased the patent from the inventor
C) Both of the above.
D) None of the above.