I think your second computation correct

来源: 2015-03-31 11:53:25 [博客] [旧帖] [给我悄悄话] 本文已被阅读:
I do not understand why you bring up two long term cap gain rate.

1. the amount above purchase price, ie 100k=500k-400k, is subject to long term cap gain rate (20%);
2. the recaptured depreciation, $109,080, is subject to 25%.

That will be it.