Final answer:
The answer is False. Unrecaptured §1250 gains apply to businesses, estates, and trusts, not just individuals.
Step-by-step explanation:
The correct answer is b. False.
Unrecaptured §1250 gains do not apply only to individuals, they also apply to businesses, estates, and trusts.
Unrecaptured §1250 gains refer to the portion of a gain from the sale of depreciable real property that is subject to a maximum tax rate of 25%, rather than the ordinary income tax rates. This provision was introduced to prevent taxpayers from converting ordinary income into capital gains by selling depreciable real property.