You need to go through each "asset" and indicate it was sold. In most cases, the sale is reported in that section and the program will do everything, including the tax on the depreciation. If you enter the sales information in that section, you do NOT report the sale again in the "Sale of Business Property" section.
In some cases, when you are going through the asset and you get to the "Special Handling" screen, you need to say "yes" on that screen. In those cases, the asset section won't ask you for the sales price and you need to enter it elsewhere in the program, usually the "Sale of Business Property" section. In those cases, you need to MANUALLY enter all of the proper number in the "Sale of Business Property" section, including depreciation. If you enter the proper information, it will properly tax the depreciation.
As a side note, there are some situations that the program is NOT set up to handle and the "Sales of Business Property" section is are very helpful. A common one is when if you used the asset for personal use before you converted it to personal use, the value at that time was less than the cost, then when you finally sold the business asset it was sold at a gain. The program is not set up for that.
