Sale of rental property on Form 1120S, page 1, instead of Form 8825
The sale of property entered in the
Rent & Royalty
folder might flow to Form 1120S, page 1, instead of Form 8825 as expected.UltraTax CS can't determine what portion of the sale is relevant to the rental property. You'll need to enter the amount on the
Rent
screen in the Rent & Royalty
folder in the Sale of property (S Corp) (Rentals)
field. The amount entered will transfer to Form 8825, line 19, and will subtract from the gain transferred from Form 4797 to Form 1120S, page 1, line 4. This field only applies if you select Code 1, Rental real estate
or Code 2, Other rental
in the Type of activity
field on the Rent
screen in the Rent & Royalty
folder.
