This is a depreciation recapture. However, if taxpayer instead sells the property for $1200, because his recomputed basis is $600, $400 of the gain is taxed as ordinary income and $200 is taxed at the more favorable capital gains tax rate.
The tuition charge is $10,088 while room and board is $8,270, books and supplies are $1,130 and other fees come in at $1,929. Residents of Virginia pay an annual total price of $21,417 to attend Virginia Tech on a full time basis.
If you attend a public school under the Post 9/11 GI Bill, the VA pays your tuition and fees and you get a book stipend once each semester calculated at $41.67 per credit and a monthly housing allowance that in most places is around the same amount you would get under the Montgomery GI Bill.