Qualified Opportunity Funds (QOF)

Forum|Forum|6 years ago
June 22, 2020
5 replies
50 views

A client sold some stocks to invest in a QOF. He was told that he should be able to defer the gains. I can't seem to fill out the forms correctly to make this happen. I have the numbers for long/short term gains. I know what was invested in these funds (more than the gains combined).

I've tried clicking the box (and not clicking the box) on the schedule D regarding QOF.

I've tried filling out Form 8997. I have the fund name, EIN, amount invested, etc. I tried using both the amount invested number and the long/short term gain number on this form.

Has anyone done this before. Nothing I do is making a difference. I feel like there must be something simple I am missing. I have read the form instructions and the FAQ from the IRS website.

Thanks for your help.

--Amy

ProSeries Professional

This topic has been closed for replies.

Best answer by dkh

For the record, I've never done this type of transaction but I do use ProSeries Professional. From what I see.... if you select the Schedule D there are two QuickZoom options. The second is for your QOF transaction. Part I line 3 has a check box that needs selected - then your QOF transactions needs entered in Part VIII. Is that how you entered?

A

ajpAuthor

Level 6

Just had a thought??? Perhaps I am not supposed to list the sale on schedule D at all, just keep them recorded on the QOF form? If that is the case, do I keep the amount invested or just the gain deferred?

Or???

sjrcpa

Level 15

It is supposed to be shown on Sch D. It gets deferred by showing some Code. I don't use ProSeries so I can't help with the input.

The more I know the more I don’t know.

dkhAnswer

Level 15

For the record, I've never done this type of transaction but I do use ProSeries Professional. From what I see.... if you select the Schedule D there are two QuickZoom options. The second is for your QOF transaction. Part I line 3 has a check box that needs selected - then your QOF transactions needs entered in Part VIII. Is that how you entered?

A

ajpAuthor

Level 6

Thank You!

I didn't see that the quick zoom had the QOF option. Now, I'm getting somewhere!

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