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

Essay

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