Common questions about Form 1040 Schedule D in ProConnect

Click on the links below to view answers to frequently asked questions regarding the Schedule D in individual returns.

• Entering a sale or disposition of assets
• Entering day trader transactions in ProConnect Tax
• Filling out Form 4684 for casualty and theft
• How to enter a prior or current year installment sale (Form 6252) in ProConnect Tax
• How do I import tax data from a spreadsheet in ProConnect Tax?

Cryptocurrency and NFTs

The IRS has added line 8v to Schedule 1 for reporting digital assets, like cryptocurrency or non-fungible tokens (NFTs), that were received as ordinary income and not reported elsewhere.

In most cases, cryptocurrency or virtual currency is reported on the tax return in the same manner as property such as stock or other capital gains or losses. See Frequently Asked Questions on Virtual Currency and Digital Assets Transactions for the IRS guidelines.

To generate an amount on Schedule 1, line 8v:

1. Go to Input Return
2. On the left, select Income ⮕ SS Benefits, Alimony, Misc. Income
3. Scroll down to the Alimony and Other Income section
4. Enter the necessary amount in the field: Digital assets received as ordinary income not reported elsewhere
   • This field is located at the end of the section

If you are reporting Digital Assets transactions in the 1040 return, be sure to mark the Yes box on the "At any time during 2024, did you: (a) receive (as a reward, award, or payment for property or services); or (b) sell, exchange, gift, or otherwise dispose of a digital asset (or a financial interest in a digital asset)?" question.