If an asset has been held for a considerable period of time, any gain on its disposition will be treated as business income.

Question

Quizplus · Accepted Answer

If an asset has been held for a considerable period of time, any gain on its disposition will be treated as a capital gain, not as business income. Business income is generated from regular business operations, while capital gains come from the sale of capital assets such as stocks, real estate, or artwork.

If an Asset Has Been Held for a Considerable Period