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Error on Asset Entry Worksheet for rental property Section 1250 amount flagged for appliance

My Asset Entry Worksheet is showing that there is an error for a rental property that was sold that including appliances.  The gain calculated is correct, but the worksheet is showing that manual entry is required for the Section 1250 depreciation recapture, but appliances described under property type Trade or Business property is Section 1245 property, so the default 0 entry is correct, but shows up in RED and can't be changed.

 

Maybe a program error.

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1 Reply
Irene2805
Expert Alumni

Error on Asset Entry Worksheet for rental property Section 1250 amount flagged for appliance

If you listed the appliances separately as assets (perhaps because they were replaced along the way), they should be entered on their own asst entry worksheet, with Code F-Rental Furnishings entered for Type of Asset.

 

A portion of the sales price should be apportioned to this asset.  There should be no 1250 depreciation recapture.

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