Entering section 179 carryovers from a prior year in ProSeries

For more Schedule C resources, check out our Tax topics page for Schedule C where you'll find answers to the most commonly asked questions.

This article will help you:

• Enter section 179 carryovers in an individual return for a new client.
• If you're receiving the error "The total Section 179 deduction does not match the sum of the section 179 carryovers shown on each individual activity."

First, enter the total carryover amount:

1. If there was 179 carryover generated from multiple activities, add these amounts together to get the total 179 carryover.
2. Press F6 to bring up Open Forms.
3. Type CO and press Enter to open the Federal Carryover Worksheet.
4. Enter the total amount on Line 24 Section 179 expense deduction disallowed.
   • You may receive a pop-up error message stating: The total Section 179 deduction does not match the sum of the section 179 carryovers shown on each individual activity. Select OK to close it.

Second, enter the breakdown of the total:

In order to track the carryover correctly, ProSeriesneeds to know how much 179 carryover to allocate to each activity in the return. These could be Schedule K-1's, Schedule C's etc. When the total of all section 179 entered equals the amount shown on the Carryover Worksheet, the error will be cleared.

Entering section 179 carryover from a Partnership K-1:

1. Press F6 to bring up Open Forms.
2. Type P and select OK to open the Schedule K-1 Worksheet for partners.
3. If you have more then on, select the one that had 179 carryovers.
4. Scroll down to Line 12, Section 179 deduction.
5. Select the QuickZoom to enter state Section 179 information to bring up additional 179 details.
6. Enter the 179 carryover amount on Line 1 Section 179 carrover from prior year Form 4562.

Entering section 179 carryover from a S Corporation K-1:

1. Press F6 to bring up Open Forms.
2. Type S and select OK to open the Schedule K-1 Worksheet for shareholders.
3. If you have more then on, select the one that had 179 carryovers.
4. Scroll down to Line 11, Section 179 deduction.
5. Select the QuickZoom to enter state Section 179 information to bring up additional 179 details.
6. Enter the 179 carryover amount on Line 1 Section 179 carrover from prior year Form 4562.

Entering section 179 carryover from a Schedule C:

1. Press F6 to bring up Open Forms.
2. Type C and select OK to open the Schedule C.
3. If you have more then on, select the one that had 179 carryovers.
4. Scroll down to the Carryovers to 2023 Smart Worksheet. 
5. Enter the section 179 as a positive number on line A.

Entering section 179 carryover from a Schedule E rentals and royalties:

1. Press F6 to bring up Open Forms.
2. Type EW and select OK to open the Schedule E Worksheet.
3. If you have more then on, select the one that had 179 carryovers.
4. Scroll down to the Carryovers to 2023 Smart Worksheet. 
5. Enter the section 179 as a positive number on line A.

Entering section 179 carryover from a Schedule F:

1. Press F6 to bring up Open Forms.
2. Type F and select OK to open the Schedule F.
3. If you have more then on, select the one that had 179 carryovers.
4. Scroll down to the Carryovers to 2023 Smart Worksheet. 
5. Enter the section 179 as a positive number on line A