47 9 7 Gains and Losses From Sales or Exchanges of Assets Used in a |ome no. 1545-0184
Form Trade or Business and Involuntary Conversions 1 98
Department of the Treasury (And Computation of Recapture Amounts Under Sections 179 and 280F) 5
Internal Revenue Service > Attach to your tax return. See Separate Instructions

Name(s) as shown on return Identifying number

Sales or Exchanges of Property Used in a Trade or Business and involuntary Conversions From Other Than
Casualty and Theft—Property Held More Than 6 months (More Than 1 Year if Acquired Before 6/23/84)

Notes: @ Use Form 4684 to report involuntary conversions from casualty and theft.
© /f you sold property that you claimed investment credit on, get Form 4255 to see if you are liable for recapture of the credit.

© File Form 6198 if you are reporting a loss and have amounts invested in the activity for which you are not at risk. (See instructions
under ‘'Special Rules. ")

(e) Depreciation (f) Cost or other (g) LOSS (h) GAIN
(a) Description of Or Date acquired {c) Date sold (@) Gross sales allowed basis plus (Oeninus the (@plus (e)
OF (mo., day, yr. (mo., day, yr. rice (or allowable) improvements anc
preety yy) | (monday ye) , sMecacaution | “eapenseot sates | S¥mof(@)and(e)) | “minus())
7 _ -

2 Gain, if any, from Form 4684, Section B, line 21 .

3 Section 1231 gain from installment sales from Form 6252, line220r30. . . 2 2 6 ee ]
4 Gain, if any, on line 31 from other than casualty and theft. L
5 Add lines 1 through 4 in column (g)andcolumn(h). . . . )

6 Combine columns (g and (h) of line 6. Enter gain or (lass) here, and on the capri line as follows s Parner see the
instructions for your line references.): : ern

a If line 6 is zero or a loss, enter the amount on line 9 below and skip lines 7 and 8. (S corporations, enter the loss on
Schedule K (Form 1120S), line 5.)
b  Ifline 6 is a gain, see the instructions under Part |, Nonrecaptured Net Section 1231 Losses.

Note: /f you had no prior year section 1231 losses and line 6 is a gain, enter the gain from line 6 as a long-term capital gain on
Schedule D.
7 Nonrecaptured net section 1231 losses from prior years. (See instructions.)

8 Subtract line 7 from line 6. If zero or less, enter zero
a Ifline 8 is zero, enter the amount from line 6 on line 10 below.

b If line 8 is more than zero, enter the amount from line 7 on line 10 below, and enter the amount from line 8 as a long-term capital gain on Schedule
D. See specific instructions for line 8b.

GG] Ordinary Gains and Losses

(e) Depreciation (f) Cost or other (@) Loss (h) GAIN
(a) Description of | (b) Date acquired {c) Date sold (d) Gross sales ont) basis, plus (eninus the (Bolus)
rt) )., day, 7 A (or allowable) improvements
Property (mon dayryr) | (mo. day. yr) pace since acquisition | "expense otsaie | SUMOF(2)and (e)) | minus ())
9 Loss, ifany, fromline6 .. Le Y
10 Gain, if any, from line 6 or amount from line 7 if applicable . a
11. Gain, if any, from line 30, Part Ill
42 Net gain or (loss) from Form 4684, Section B, ines 13.and 20a.
13 Ordinary gain from installment sales from Form 6252, line 21 or 29 (Applies only to sales before 6/7/84).
14 Recapture of section 179 deduction on property dispositions by partners and S corporation shareholders (see
instructions) .
15. Otherordinary gains and losses (include property held 6 monthsor less (1 year or less it acquired before 6/23/84)):
16 Add lines 9 through 15 in column (g)andcolumn(h) . . . . ... )

17 Combine columns (g) and (h) of line 16. Enter gain or (loss) here, and on the ‘appropriate lr line as follows:
a Forall except individual returns: Enter the gain or (loss) from line 17, on the return being filed. See instructions for Part |! for
specific line references.
b For individual returns:

(1) If the loss on line 9 includes a loss from Form 4684, Section B, Part II, column (b)(ii), enter that part of the loss here and Yh
‘on line 19 of Schedule A (Form 1040). Identify as from “Form 4797, line 17b(1)”

(2) Redetermine the gain or (loss) on line 17, excluding the loss (if any) on line 17b(1). Enter here ‘and on 1 Form 1040, line 15.

For Paperwork Reduction Act Notice, see page 1 of separate instructions. Form 4797 (1985)


Form 4797 (1985)

Page 2

Gain From Disposition of Property Under Sections 1245, 1250, 1252, 1254, 1255
Skip section 1252 on line 26 and in the instructions, if you did not dispose of farmland, or if a partnership files this form.

18 Description of sections 1245, 1250, 1252, 1254, and 1255 property:

Date acquired
(mo., day, yr.)

Date sold
(mo., day, yr.)

A

B
c
D

Relate lines 18A through 18D to these columns > PP rp

Property
A

Property
B

Property
c

Property
D

19 Gross sales price .
20 Cost or other basis plus expense of sale .
21 Depreciation (or depletion) allowed (or allowable) .

22 Adjusted basis, subtract line 21 from line 20
23 Total gain, subtract line 22 from line 19

24 If section 1245 property:

a Depreciation allowed (or allowable) (see instructions) ,
b Enter smaller of line 23 or 24a

25 If section 1250 property; (If straight line depreciation used, enter zero
on line 25g unless you are a corporation subject to section 1291 )
a Additional depreciation after 12/31/75 - oa

b Applicable percentage times the smaller of line 23 or line 25a (see
instructions). ran oe

°

Subtract line 25a from line 23. If line 23 is not more than line 25a,
skip lines 25d and 25e .

Additional depreciation after 123 1/69 and before 1/1/76 .

a

e Applicable percentage times the smaller of line 25c or 25d (see
instructions). woe se ee ee

f Section 291 amount (For corporations only. )

& Add lines 25b, 25e, and 25f

26 Ifsection 1252 property:
a Soil, water, and land clearing expenses.

b Line 26a times applicable percentage (see structions)
¢ Enter smaller of line 23 or 26b .

27 If section 1254 property:

a Intangible drilling and development costs deducted after
12/31/75 (see instructions) soe rt
b__Enter smaller of line 23 or 27a

28 If section 1255 property:
a Applicable percentage of payments excluded from income under
section 126 (see instructions). .
b Enter the smaller of line 23 or 28a

Summary of Part III Gains (Complete a columns ry ‘through D through line 28b before going to li

ine 29)

29 Total gains for all properties (add columns A through D, line 23)

30 Add columns A through D, lines 24b, 25g, 26c, 27b, and 28b. Enter here and in Part M, line 11 .
31 Subtract line 30 from line 29. Enter the portion from casualty and theft on Form 4684, Section B, line 15; enter the e portion fr from

other than casualty and theft on Form 4797, Part, line 4,

Complete This Part Only If You Elect Out of the installment | Metho

Less Than Full Face Value

d ‘And Report z a Note or Other Obligation at

1 Check here if you elect out of the installment method.

(See instructions for Part V.)

G4 Computation of Recapture Amounts Under Sections 179 an

id 280F When Business Use Drops to 50% or Less

1 Section 179 expense deduction or section 280F recovery deductions
2 Depreciation (see instructions) :
3__Recapture amount. (Subtract line 2 from line 1. >

(a) Section 179

(b) Section 280F