Equipment we sold in our business (s-corp) is passed over on my Shedule K. The equipment had a full 179 deduction taken at purchase and the item did not reach its useful life when we sold it. Turbo Tax Business included a shareholder disposition report with the Schedule K. I have entered all the info from those forms. Do I still need to do a recapture on a 4797 for the asset with my 1040? I've been told the Schedule K info is all I need to enter but the interview is asking recapture questions although they are not intuitively linked to this particular sale.
Example:
Purchase 10/2018 - $94999
Took full 179 in 2018
Sold 12/2020 - $87000
Basis reported on Disposition Report is $94999 with 179 deduction being the same.
