Fillmore's Net Section 1231 Gains and Losses Reported for the Past

question 137

Multiple Choice

Fillmore's net Section 1231 gains and losses reported for the past five years is presented below.
​

In 2017,Fillmore has a $15,000 net Section 1231 gain.What amounts and character of income will Fillmore ultimately report in 2017 as a result of this net Section 1231 gain?

• A)$6,000 LTCG;$9,000 ordinary income
• B)$15,000 ordinary income
• C)$15,000 Section 1231 gain
• D)$9,000 LTCG;$6,000 ordinary income
• E)None of the above.