i would say this is really the fault of Turbotax for failure to provide an explanation but if you look at line 15 of the actual 8824 it will say something like this cash received reduced by exchange expenses
for cash received, it wants you to include the exchange expenses, so cash received 37461. you should end up with a taxable gain of 2300. Turbotax will not create the new asset. Also, you'll need to keep track of the depreciation taken on the original property since that will remain subject to the recapture rules
