@brownize wrote:
Yes, I did Form 8949 Part II, checked box "E" and put on line 9 on Sch D (Form 1041).
You checked the wrong box; check Box F and then enter figures on Line 10 of Schedule D.
@brownize wrote:
Still puzzled about limiting the loss to $3000 on Sch D Part IV, and what lines to fill on 1041.
I explained the part about the Schedule D loss limitation; it does not apply to this trust.
Your 1041 is going to have almost no lines populated with meaningful figures (mostly zeroes) since you are only reporting a net capital loss that is being passed through to the beneficiaries.
I have noted that you did not answer the question in one of my previous posts concerning the size of the loss. You mentioned that the loss was mostly a result of selling expenses ($60,000?). You should make sure those expenses are, indeed, deductible (such as real estate commissions, etc.).
