your total gain is 163408 less your basis of 20131 = 143277
the ordinary portion of the gain is the 1245 recapture and the other ordinary income
so 46030 +2578 = 48608 this should appear on line part II of form 4797 line 10
143277- 48608 leaves 94669 that consists of 8190 capital gain (assumed long term)
10822 of section 1250 recapture and 75658 of 1231 gain (treated as capital gain)
sadly Tubotax can not properly handle the 1231 portion which should flow to form 4797
so to handle this increase basis from 20131 to 95789 which includes the 1231 gain
then on the actual k-1 worksheet enter the 75658 as 1231 gain so it flows to form 4797
so on the worksheet
sales price 163408
less basis of 95789 (includes 1231 gain reported on line 10 of k-1 - Turbotax has no other way of properly handling this - the 75658 then flows to form 4797 part line 2)
gain = to 67519
ordinary income 48608
capital gain 19011 (includes 1250 recapture of 10822)
if you have unrecaptured 1231 losses from prior years (form 4797 line 8), the effect is to convert up to that amount of your current year 1231 capital gain to ordinary income. that's why it's important to have the 1231 gain flow to form 4797 rather than directly to schedule D.
