Depreciation Recapture Under § 1245 and § 1250 Is Reported

question 12

True/False

Depreciation recapture under § 1245 and § 1250 is reported on Form 4797.

---

Definitions:

Accounting Principles

Accounting Principles are the rules and guidelines that companies must follow when reporting financial data, ensuring consistency, reliability, and comparability of financial statements.

GASB

The Governmental Accounting Standards Board, an organization that establishes accounting and financial reporting standards for U.S. state and local governments.

Financial Statements

Records that outline the financial activities and condition of a business, person, or other entity.

Proprietary Fund

A type of fund used in governmental accounting that is used to account for activities similar to those found in the private sector, where the payment of fees by external users for goods or services provided by the fund is the principal source of revenue.