Any Section 1245 gain is recognized as "ordinary" to the extent of the depreciation taken.

Name: Any Section 1245 gain is recognized as "ordinary" to the extent of the depreciation taken.
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Quizplus · Accepted Answer

This is correct, Section 1245 gain relates to personal property used in trade or business and is subject to depreciation recapture rules. Any gain recognized is treated as ordinary income to the extent of the depreciation taken on the property.

Any Section 1245 Gain Is Recognized as "Ordinary" to the Extent