I've always had some Unrecaptured Section 1250 Gain from various REIT brokerage investments. The amounts vary each year. When TT completed Schedule D in past years, It always chose to use the "Qualified Dividends and Capital Gain Tax Worksheet". However, for 2022, it chose to use the "Schedule D Tax Worksheet".
This was because I was required to complete the "Unrecaptured Section 1250 Gain Worksheet". Even though I've always had Unrecaptured Section 1250 Gains before, TT never required this worksheet.
What triggered needing it for 2022? Is there a dollar amount trigger or what?
Thanks for any replies!
The instructions at the top of the IRS Schedule D Tax Worksheet states:
Complete this worksheet only if line 18 or line 19 of Schedule D is more than zero and lines 15 and 16 of Schedule D are gains or if you file Form 4952 and you have an amount on line 4g, even if you don’t need to file Schedule D.
Otherwise, complete the Qualified Dividends and Capital Gain Tax Worksheet in the instructions for Form 1040, line 16, (or in the instructions for Form 1040-NR, line 16) to figure your tax. Before completing this worksheet, complete Form 1040, 1040-SR, or 1040-NR through line 15.
Perhaps prior year tax returns did not include gain entries on lines 15 and 16 of Schedule D?
@Anonymous
Thanks for the reply JamesG1!
Previous years always included gain entries on lines 15 and 16 of Schedule D. This is not a problem for me, I'm just curious what changed the type of worksheet used in my 2022 Schedule D. I've spent several hours looking into it, but it still is a mystery to me. Thanks again.