I've found inconsistent behavior from TurboTax related to this issue.
On the step-by-step Select Disposed Asset page, I click the Edit button on a disposed computer and go to the "Tell Us Why You Stopped Using This Asset" page. I have "disposed of by some other means" selected and click Continue. The "Tell Us More About the Disposal of Your Asset" page has the date 12/31/20204 and I click Continue. The next page sometimes says "We Thought You'd Like to Know... Since you received nothing of monetary value in return for the Dell Computer, there was no taxable gain or loss to calculate." When the "We Thought You'd Like to Know" page says that, then the item is not listed in the K-1.
If I repeat those exact same steps for the same item, then the "We Thought You'd Like to Know... " page will say "Because a Section 179 deduction was taken on Dell Computer, its sale is treated differently. Per IRS instructions, you do not report the sale in this S corporation return. Instead, information about the sale is passed to the shareholders on the Schedule K-1 and reported in their individual return." In this case, it does show up on the K-1.
Going through those same steps repeatedly goes back and forth between the two "We Thought You'd Like to Know" pages. So there is a bug in TurboTax.
