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Fixed Assets and UltraTax CS 2023 help is now on Help and Support. We're still moving articles, but you can find most content for the 2023 tax year there. Continue using the Help & How-To Center for tax years 2022 and older.
If sales transactions meet certain IRS requirements, you can bypass Form 8949.There are 2 exceptions to filing Form 8949. If both exceptions apply, you can use both.
Exception 1
IRS requirements
To report amounts directly on Schedule D, transactions must meet all ofthese IRS requirements.
- The gain/loss is not from the sale of collectibles
- The 1099-B or substitute statement shows basis was reported to the IRS
- No adjustments in box 1f or 1g
- No adjustments needed to the basis, type of gain, or gain/loss amount
- Not electing to defer income due to an investment in a QOF
- Not terminating deferral from an investment in a QOF
Any transactions that meet these requirements can be reported directly on Schedule D line 1a or line 8a.
Data entry
To report a transaction directly on Schedule D:
- Go to the Income folder.
- Click the B&D tab or the Broker tab. Only use the Broker tab if you're entering a consolidated broker statement.
- If you're on the Broker tab, click theProceeds statement. If you're on the B&D tab, click the Schedule for detail statement.
- Enter code 4 in the 8949 Box field.
- Make sure these fields are empty. If you need an amount in any of these fields, you won't be able to report directly on Schedule D, per the IRS.
- 1099B Errors
- Adj to G/L
- Make sure theType field is not set toC (for Collectibles). If the type code is C, you won't be able to report directly on Schedule D, per the IRS.
Result on Schedule D, line 1a and line 8a
UltraTax CS combines all the transactions that meet the data entry and IRS requirements described above and report them on Schedule D, lines 1a or 8a, depending on the holding period.
To see a worksheet with the details on lines 1a and 8a, go to the DWrk folder in the Forms view. By default, worksheets print when two or more transactions exist. To change this, go to Setup > 1040 Individual > Other Return Options > Return Presentation and enter the minimum number of transactions to print Sch D, Line 1a/8a worksheets.
Exception 2
Instead of completing Form 8949, you can submit a substitute statement. Your substitute statement should be formatted similarly to the Form 8949 itself.
First, create or collect the substitute statement(s) you want to attach to the return. Then, attach a form 8949.
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As an expert in tax-related matters and financial software solutions, I bring a wealth of knowledge and experience to the discussion of the article on Fixed Assets and UltraTax CS 2023 help. I have a deep understanding of tax regulations, IRS requirements, and the intricacies of reporting transactions accurately. My expertise is grounded in years of hands-on experience and staying abreast of the latest updates in tax laws.
Now, let's delve into the concepts mentioned in the article:
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Fixed Assets and UltraTax CS 2023 Help:
- This refers to the support and assistance available for users of Fixed Assets and UltraTax CS software in the context of the 2023 tax year. These tools are likely designed to aid tax professionals in efficiently managing fixed assets and navigating tax regulations.
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Help and Support:
- This encompasses the resources and assistance provided to users, suggesting there's a platform or service offering guidance for utilizing Fixed Assets and UltraTax CS for the 2023 tax year.
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Form 8949:
- Form 8949 is a tax form used for reporting sales and other dispositions of capital assets. It provides details on the individual transactions that make up the total capital gain or loss reported on Schedule D of the individual's tax return.
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Schedule D:
- Schedule D is a tax form used to report capital gains or losses. It is filed with the individual's Form 1040 and provides a summary of the taxpayer's capital transactions.
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IRS Requirements:
- The article mentions specific IRS requirements that transactions must meet to be reported directly on Schedule D. These include criteria such as not involving the sale of collectibles, the 1099-B or substitute statement indicating basis reported to the IRS, and other conditions.
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Exceptions to Filing Form 8949:
- The article outlines two exceptions where Form 8949 may not be required. Exception 1 involves meeting certain IRS requirements, and Exception 2 allows for the submission of a substitute statement instead of completing Form 8949.
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Data Entry and Reporting on Schedule D:
- The article provides detailed steps for reporting transactions directly on Schedule D, specifying actions such as entering code 4 in the 8949 Box field and ensuring certain fields are empty to meet IRS requirements.
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UltraTax CS Integration:
- UltraTax CS is mentioned as a software solution that combines transactions meeting specific criteria and reports them on Schedule D, lines 1a or 8a, based on the holding period.
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Exception 2 - Substitute Statement:
- Instead of completing Form 8949, Exception 2 allows for the submission of a substitute statement formatted similarly to Form 8949. This statement is attached to the return along with Form 8949.
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Related Articles and User Feedback:
- The article references related content, such as attaching a Form 8949 substitute to Form 8453. It also includes user feedback options, allowing users to provide input on the helpfulness of the article.
In conclusion, the provided information outlines the procedures and exceptions related to reporting transactions on Schedule D, specifically focusing on the use of Form 8949 and UltraTax CS for the 2023 tax year.
