Betty, a Single Taxpayer with No Dependents, Has the Gains

question 55

Essay

Betty, a single taxpayer with no dependents, has the gains and losses shown below.Before considering these transactions, Betty has $45,000 of other taxable income.What is the treatment of the gains and losses and what is Betty's taxable income? $\begin{array}{lr}\S 1245 \text { gain \#1 } & \$ 18,000 \\\S1245 \text { gain \#2 } & 5,000 \\\text { Business equipment long-term casualty loss } & (8,000) \\\text { Business real property long-term casualty gain } & 12,000 \\\S 1231 \text { gain } & 13,000 \\\S 1231 \text { lookback loss } & (2,000)\end{array}$

---

Definitions:

Corporate Branding

The practice of promoting the brand name of a corporate entity, as opposed to specific products or services.

Brand Name

The distinctive title by which a product or service is known, recognized, and remembered by consumers.

Brand Mark

A symbol or design that identifies a brand, making it distinguishable from others.

Packaging

Packaging involves the design and production of containers or wrappings for products, serving the dual purpose of protecting the product and communicating its value and brand identity to consumers.