beck53
New Member

Do I need to complete the recapture section if I indicate the item was sold in the asset section? Is depreciation recapture and gain calculated automatically?

Sold a business as an asset sale.  I have prorated the portion of sale to equipment.  I only have two assets with sec 179 that need to be recaptured.  I am finding the process confusing.  If I enter in the recapture the miscellaneous income section how is my basis affected for the calculation of gain or loss on the asset.  My asset is 24427 the depreciation allowed would be 18977 leaving recapture of 5450 to be reported on the schedule c.  The sales price for that item is 7800.  Is my basis for gain now 5450. and the gain on the sale 2350?  How does turbo tax know that?  The data entry is confusing me.