How am I reporting a capital gain and a loss on the same transaction?

fbodell3
fbodell3 Member Posts: 1 Newcomer
in Income

I have gone through the entering of my K-1 (I sold the company last year) and after entering the information Freetax gives me this screen which confuses the heck out of me.

I try to post the screen but it keeps coming up "Permission problem"

The two messages are

You have a capital gain you need to report on your tax return
You took $**** in distributions from this S corporation, which is greater than your $xxxx basis before the distribution. This means you have a capital gain of $xx that you need to report on the Your Investment and Savings Accounts screen as a sale of stock.

Ok Capital Gain……

Next message

We don't support your return
Unfortunately, we don't support your return because you're claiming a loss greater than your basis.

This means the losses you can claim are limited, and we don't support this situation. You'll need to file with another service.

OK…….loss

Gain…loss….Freetax can't do it?

I do have an issue with box 17 on the K-1 with code AV….I can't get to a second screen which lets me enter the aggregate income and the aggregate deductions….maybe this is the issue?

My mind is about to explode……

Thanks for any ideas in advance………

fbodell3

Comments

  • KristineS
    KristineS FreeTaxUSA Agent Posts: 296 image
    Hi fboddell3,

    Thanks for writing in with your question and joining the Community.

    FreeTaxUSA accommodates many tax situations, but not all. Based on your comments, we may not be able to support your particular Schedule K-1.

    Since we do not have access to your account in the Community Forum, I recommend you contact Customer Support while signed into your FreeTaxUSA account for further questions or assistance.

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