Elli
Level 2

I have a client that sold stock and is deferring the gains to his partnership which was set up for a Qualified Opportunity Fund.  I've entered everything correctly. The gains have been deferred, but on Schedule the deferral is showing up as a loss.  So the return shows a $3,000 capital loss deduction.  Also on Form 8949, it does not show the gain with the offset of the deferral, just the adjustment of the deferral.  If I mark the box that this is a 4797 transaction, it shows up correctly, but it's not a 4797 transaction.  It wasn't property sold, it was Capital Asset (Stocks).  How do I fix this?

Elli

 

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