sold my rental property last year and reported as sale of business. i had little gain from the sale but over the years i have unallowed passive activity loss reported on 8582. when i reported those unallowed loss under 'Nonrecaptured Section 1231 loss', my refund reduced somhow, shoudn't it go up? I read more on 4797 instruction, seems like that section is used to report 'section 1231 losses deducted during the 5 preceding tax years', then where do i report my suspended PALs?
