First, I'll correct my mis-stated initial statement. Should have read: Earlier in 2022, I filed the tax year 2021 1040 forms and need to amend ....
Here's what's going on in the forms... is it correct?
Form 4797 captured the $4K returned in the end from the original $25K invested ($21K loss). This flowed to line 4 on Sch 1 as a loss. I got this result by following the guided step by step stating it was "sold" (not "liquidated")
Sch E captured the passive losses that have accumulated up to this final year ($11K) and it flowed to line 5 on Sch 1 as a loss . This was also entered along the way in the step by step
Then lines 4 and 5 on Sch 1 were combined ($21K + $11K) and put on Form 1040 line 8 as a $33K loss.
Seem right?
Thx!
