This is a Cap Gain Distribution not a sale. So here is what I did. I created a new 1099-DIV for the company that had the PFIC Cap Gain Distribution (the same company you list on the 8621) . Then in line 2a enter in your Cap Gain Distribution. This flows to Schedule B Box 2a Cap Gain Distribution with the name of the company and then flows to Schedule D Line 13 LT Cap Gain Distribution. Since you file the 8621 and Schedule B (with the company name paying the Cap Gain Distribution) and Schedule D the documentation will be pretty good. Of course as mentioned elsewhere here you have to print and mail in a paper copy of your return to add in the 8621 form. I also insert the 8621 in my PDF copy of the forms I send in.
I agree that TurboTax should include form 8621 at least for anything reported as "Election To Treat the PFIC as a QEF" and line 6a to 7c filled out. That part is not so hard. Perhaps if anything but 8621 Part II A is checked they could just say "Sorry this isn't supported by TurboTax"
