RECOGNIZED GAIN ON FORM 8824 ( BOOT)

[mike9]

Is Recognized Gain calculated on form 8824 ordinary income? Shouldn't the gain exceeding Depreciation recapture be Capital Gain?

Pro Series is reporting the total gain as Ordinary Income

Any help will be immensely appreciated

Thank You

[George4Tacks · Accepted solution]

Short answer is no, not automatically. You probably need to go back and review your input. 1031 is a tricky computation.

https://accountants-community.intuit.com/articles/1862349-1040-completing-a-like-kind-exchange-of-bu... 

Also consider an external worksheet. I LOVE TaxTools, it has a great worksheet as part of it's immense listing of other useful tools. If you call them they might give you a deal on this year's release if you buy next year. https://www.taxtools.com/products_tt.aspx

Google can also find some free excel or other "1031 worksheet"