Hi! I was super happy to find this thread. My husband and I filed for bankruptcy last year 2019 and was awarded. Say we had 60,000 in credit card debt, 40,000 was personal, 20,000 was from his home improvement contractor's business. All of the debt was from credit cards and 1 large equipment. My husband received 5 1099-C's under my husband's company's EIN # . Somehow our bankruptcy included all of our dept, business and personal combined. The business was listed as a co-debtor on the business debt. My husband's business is closed. He sold the large piece of equipment on 1/6/19. I have zeroed everything out on the 2019 for his contractor's business. When I enter the sale of equipment I am left with $3,000 depreciation for 2019 which is showing up as a loss for the company. I plan on mailing in our return with the 1099-c's since Turbo Tax will not let me put in my husband's EIN numbers. Right now in Turbotx I have one with all the totals entered with his social. I filled out the Debt cancellation worksheet, 3 of them, one for the business debt, one for husband's debt, one for my debt. The numbers flow through to Form 982. I just don't know what to do with Part II of form 982. I know I need to get rid of the $3000 depreciation loss on my husband's business. How do I do that? and should the $3000 be on Form 982 part II? Should I have anything else on Part II? Also, my husband's company had a loss of $20000. I haven't done anything to carry forward the loss. I know it shouldn't be done bc of the bankruptcy. Turbo Tax doesn't automatically do that does it? I don't see the numbers anywhere. Thank you so much for your help! So to clarify 1. What do I do with the depreciation loss for the year. Can I delete it in the company section somehow or does it have to be on Form 982 Sect II? 2. Is there anything else that needs to be on Form 982 Sect II? 3. Do I need to do anything else with last years company loss if it looks like nothing is coming through automatically on TurboTax. Thanks again.
