Point 1: Do not enter an asset when placed in service and removed from service the same year. Use the cost as part of the sales expenses so that you incorporate the entire cost basis when entering the sales information.
Point 2: There should be no override in this situation and e-file should be fine.
Point 3: You are correct. Special depreciation should be included with the sale and it is shown on the appropriate line of Form 4797. The overall gain is still being taxed as it should.
@AB-Tax
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
