I'm part of a multi-member LLC. The single commercial property it contains was sold in 2019 and the LLC disposed of. I've marked the Partnership as ended in 2019 and 'Disposition was not via a sale'. The property was sold, but that constituted the only sale. Is this correct? I had 'Unrecaptured Section 1250 Gain' due to the depreciation taken over the years on the property, but did this come from 'Disposition of an interest in a partnership'. I'm assuming not? It came from the sale of the partnership's asset.
The Unrecaptured Section 1250 Gain from the partnership's sale of the asset should be reported in box 9c of the Schedule K-1 you received from the partnership.
The termination of the partnership is a disposition. After you enter the K-1 from the partnership, TurboTax will ask you about the disposition. If everything you received from the partnership is reported on the Schedule K-1 and entered into TurboTax, during that disposition you will report no amount for the sales price (because the partnership terminated, and everything you received is reported on the K-1), and your adjusted basis in the partnership after all the current year activity (which may be "zero", i.e., you won't have a gain or loss on the disposition of your share of the partnership).
If you had prior year disallowed passive losses for this partnership, those should show up as a deduction on your tax return in the year the partnership disposed of the asset.