Lincoln Brown has used a piece of land in their business for the past five years. The land qualifies as §1231 property. It is unclear whether Lincoln
Lincoln Brown has used a piece of land in their business for the past five years. The land qualifies as §1231 property. It is unclear whether Lincoln will have to recognize a gain or loss when they eventually sell the asset. Lincoln asks their accountant how the gain or loss would be characterized if they decide to sell. The accountant says that selling §1231 assets gives sellers “the best of both worlds.” Explain what the accountant means by this statement.