This is the second year of our 4 member LLC. We sold a vehicle of the company in 2022 with gain. The vehicle was purchased in March of 2021 and sold on April 2022, so more than a year. And we had taken Section 179 deduction for it in 2021. I entered it in turbotax under "Dispose of Business Property", and turbotax shows me:
Date acquired 03/29/2021
Date sold 04/01/2022
Gross sale price 59,000
Original cost 52,500
Depreciation allowed 16,609
Section 179 deduction 4,590
Projected gain 27,699
and further notes that this will be passed into our K-1. However, when I look at the resulting K-1 there is nothing about this gain. So, I must be missing something. This Section 179 is confusing. First I suspected perhaps I should choose "Schedule 179 Expense Recapture" under "others' section and claimed entire 27,699. But still nothing changed in K-1. Do i need to enter something under adjustments, other income, or in Schedule 179 Carryover section? Or is there another reason why this projected gain does not appear in the K-1?
I would appreciate any help.
Ty
This should be showing up as long term capital gain in your K1s. If there is nothing there in the K1 then you may need to adjust the pass through income in your fields. Go back to those questions and check your answers.