Loss on the sale of land


During the current year, George recognizes a $30,000 Section 1231 gain on sale of land and a $18,000 Section 1231 loss on the sale of land. Prior to this, George's only Section 1231 item was a $14,000 loss six years ago. George must report a: a) $12,000 net LTCG b) $10,000 ordinary income and $2,000 net LTCG c) $14,000 ordinary income d) $12,000 ordinary income?

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Accounting Basics: Loss on the sale of land
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