Form 8582 Worksheet 1, column (c) Unallowed loss (prior years). What happens if I sold a property that year?

[sandylsu]

I was reviewing a previous year tax return and I am now double-checking if TurboTax calculated something incorrectly.

What goes in Form 8582 Worksheet 1, column (c) Unallowed loss (prior years), if I sold a property that year?

Is it the value from Form 8582, worksheet 5, column (c) Unallowed Loss from the previous year, or is it the Schedule E passive suspended loss from the previous year?

[tagteam]

I will page @Mike9241. Please check back later.

[Mike9241]

don't know what year is involved or the form the activity was reported on. However, in tests i did for 2022 and 2023, if fully disposed (i used a k-1 - business entity and a k-1 real estate entity) in a fully taxable transaction, with property entry, current and prior suspended losses are no longer treated as passive in year of disposition and no longer appear on form 8582.