Since the Code section that defines capital asset says what is not a capital asset, other Code sections have to help determine what is and what is not a capital gain or loss.

Question

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The Code section that defines capital asset excludes certain types of property, such as inventory or accounts receivable, from being considered a capital asset. Therefore, other Code sections must be consulted to determine whether a gain or loss on a particular asset qualifies as a capital gain or loss.

Since the Code Section That Defines Capital Asset Says What