The tax courts have ruled in a case involving two related corporations where one of the related corporations that transferred the assets reported a capital gain on the transaction.
The IRS re-characterized the gain because the same person owned more than 50% of the stock of each corporation. The Tax Court agreed with the IRS that the firms were related and that the capital gain treatment was incorrect (Fish, TC Memo, 2013-270). Thus the gain from the sale of assets that are depreciated will be taxed at ordinary income tax rates rather than the lower capital gain rates.
So before selling assets to a related party, be sure to check with a tax professional.