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Free H&r Block Efile

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Free H&r Block Efile

Free h&r block efile Publication 1544 - Introductory Material Table of Contents What's New Introduction What's New Future developments. Free h&r block efile  For the latest information about developments related to Publication 1544, such as legislation enacted after it was published, go to www. Free h&r block efile irs. Free h&r block efile gov/pub1544. Free h&r block efile Amending a report. Free h&r block efile  You can amend a prior report by checking box 1a at the top of Form 8300. Free h&r block efile See Amending a report, later. Free h&r block efile Introduction If, in a 12-month period, you receive more than $10,000 in cash from one buyer as a result of a transaction in your trade or business, you must report it to the Internal Revenue Service (IRS) and the Financial Crimes Enforcement Network (FinCEN) on Form 8300, Report of Cash Payments Over $10,000 Received in a Trade or Business. Free h&r block efile This publication explains why, when, and where to report these cash payments. Free h&r block efile It also discusses the substantial penalties for not reporting them. Free h&r block efile Some organizations do not have to file Form 8300, including financial institutions who must file FinCEN Form 104 (formerly Form 4789), Currency Transaction Report, and casinos who must file FinCEN Form 103 (formerly Form 8362), Currency Transaction Report by Casinos. Free h&r block efile They are not discussed in this publication. Free h&r block efile This publication explains key issues and terms related to Form 8300. Free h&r block efile You should also read the instructions attached to the form. Free h&r block efile They explain what to enter on each line. Free h&r block efile Prev  Up  Next   Home   More Online Publications
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Understanding your CP259 Notice

We've sent you this notice because our records indicate you didn't file the required business tax return identified in the notice.

Printable samples of this notice (PDF)

Tax publications you may find useful

How to get help

Calling the 1-800 number listed on the top right corner of your notice is the fastest way to get your questions answered.

You can also authorize someone (such as an accountant) to contact the IRS on your behalf using this Power of Attorney and Declaration of Representative (Form 2848).
 


What you need to do

  • File your required business return immediately.
    • If eligible, file your return electronically with all required schedules, using your e-file provider, or
    • File a paper return with all required schedules
  • Complete the Response form enclosed with your notice and mail it to us, using the enclosed envelope:
    • To explain why you are filing late.
    • To explain why you don’t think you need to file.
    • If you have already filed and it's been more than four weeks, or if you used a different name or Employer ID number (EIN) than shown on the notice when filing.
  • If you have filed within the last four weeks using the same name and EIN shown on the notice, you may disregard this notice.

You may want to...

  • Review Tax Information for Businesses which provides information regarding various business filing issues.
  • Review your records and ensure all returns are filed timely.

Answers to Common Questions

Why did I receive multiple CP 259 notices?
If your business hasn't filed tax returns, a notice will be generated and mailed for each tax form and tax period the IRS shows as delinquent.

I have never had employees and or filed this return previously so why did I receive a notice requesting me to file?
When you apply for an Employer Identification number, filing requirements are established requiring specific types of returns to be filed (e.g. Form 940, Employer's Annual Federal Unemployment Tax Return; Form 941, Employer's Quarterly Federal Tax Return; Form 1120, U.S. Corporation Income Tax Return, etc.). When the return is not filed, the IRS considers it to be delinquent and generates a notice requesting the return be filed.

Do I still need to file a tax return even if I had no employees or business activity during the tax period(s) in question?
If you had no employees or business activity during a tax period you are not required to file a return for that tax period. You still need to respond to this notice. If you made Federal Tax Deposits or other payments or credits for the tax period, you must file a signed return showing the payments to get a refund.


Tips for next year

File all required returns by the appropriate due date.


Understanding your notice

Reading your notice
Your notice may look different from the sample because the information contained in your notice is tailored to your situation.

Notice CP259, Page 1

Notice CP259, Page 2

Notice CP259, Page 3

Notice CP259, Page 4

Page Last Reviewed or Updated: 28-Mar-2014

The Free H&r Block Efile

Free h&r block efile 4. Free h&r block efile   Reporting Gains and Losses Table of Contents Introduction Topics - This chapter discusses: Useful Items - You may want to see: Information Returns Schedule D and Form 8949Long and Short Term Net Gain or Loss Treatment of Capital Losses Capital Gains Tax Rates Form 4797Mark-to-market election. Free h&r block efile Introduction This chapter explains how to report capital gains and losses and ordinary gains and losses from sales, exchanges, and other dispositions of property. Free h&r block efile Although this discussion refers to Schedule D (Form 1040) and Form 8949, many of the rules discussed here also apply to taxpayers other than individuals. Free h&r block efile However, the rules for property held for personal use usually will not apply to taxpayers other than individuals. Free h&r block efile Topics - This chapter discusses: Information returns Schedule D (Form 1040) Form 4797 Form 8949 Useful Items - You may want to see: Publication 550 Investment Income and Expenses 537 Installment Sales Form (and Instructions) Schedule D (Form 1040) Capital Gains and Losses 1099-B Proceeds From Broker and Barter Exchange Transactions 1099-S Proceeds From Real Estate Transactions 4684 Casualties and Thefts 4797 Sales of Business Property 6252 Installment Sale Income 6781 Gains and Losses from Section 1256 Contracts and Straddles 8824 Like-Kind Exchanges 8949 Sales and Other Dispositions of Capital Assets See chapter 5 for information about getting publications and forms. Free h&r block efile Information Returns If you sell or exchange certain assets, you should receive an information return showing the proceeds of the sale. Free h&r block efile This information is also provided to the IRS. Free h&r block efile Form 1099-B. Free h&r block efile   If you sold property, such as stocks, bonds, or certain commodities, through a broker, you should receive Form 1099-B, Proceeds From Broker and Barter Exchange Transactions, or a substitute statement from the broker. Free h&r block efile Use the Form 1099-B or a substitute statement to complete Form 8949 and/or Schedule D. Free h&r block efile Whether or not you receive 1099-B, you must report all taxable sales of stock, bonds, commodities, etc. Free h&r block efile on Form 8949 and/or Schedule D, as applicable. Free h&r block efile For more information on figuring gains and losses from these transactions, see chapter 4 in Publication 550. Free h&r block efile For information on reporting the gains and losses, see the Instructions for Form 8949 and the Instructions for Schedule D (Form 1040). Free h&r block efile Form 1099-S. Free h&r block efile   An information return must be provided on certain real estate transactions. Free h&r block efile Generally, the person responsible for closing the transaction (the “real estate reporting person”) must report on Form 1099-S sales or exchanges of the following types of property. Free h&r block efile Land (improved or unimproved), including air space. Free h&r block efile An inherently permanent structure, including any residential, commercial, or industrial building. Free h&r block efile A condominium unit and its related fixtures and common elements (including land). Free h&r block efile Stock in a cooperative housing corporation. Free h&r block efile If you sold or exchanged any of the above types of property, the “real estate reporting person” must give you a copy of Form 1099-S or a statement containing the same information as the Form 1099-S. Free h&r block efile The “real estate reporting person” could include the buyer's attorney, your attorney, the title or escrow company, a mortgage lender, your broker, the buyer's broker, or the person acquiring the biggest interest in the property. Free h&r block efile   For more information see chapter 4 in Publication 550. Free h&r block efile Also, see the Instructions for Form 8949. Free h&r block efile Schedule D and Form 8949 Form 8949. Free h&r block efile   Individuals, corporations, and partnerships, use Form 8949 to report the following. Free h&r block efile    Sales or exchanges of capital assets, including stocks, bonds, etc. Free h&r block efile , and real estate (if not reported on another form or schedule such as Form 4684, 4797, 6252, 6781, or 8824). Free h&r block efile Include these transactions even if you did not receive a Form 1099-B or 1099-S. Free h&r block efile Gains from involuntary conversions (other than from casualty or theft) of capital assets not held for business or profit. Free h&r block efile Nonbusiness bad debts. Free h&r block efile   Individuals, If you are filing a joint return, complete as many copies of Form 8949 as you need to report all of your and your spouse's transactions. Free h&r block efile You and your spouse may list your transactions on separate forms or you may combine them. Free h&r block efile However, you must include on your Schedule D the totals from all Forms 8949 for both you and your spouse. Free h&r block efile    Corporations and electing large partnerships also use Form 8949 to report their share of gain or loss from a partnership, S Corporation, estate or trust. Free h&r block efile   Business entities meeting certain criteria, may have an exception to some of the normal requirements for completing Form 8949. Free h&r block efile See the Instructions for Form 8949. Free h&r block efile Schedule D. Free h&r block efile    Use Schedule D (Form 1040) to figure the overall gain or loss from transactions reported on Form 8949, and to report certain transactions you do not have to report on Form 8949. Free h&r block efile Before completing Schedule D, you may have to complete other forms as shown below. Free h&r block efile    Complete all applicable lines of Form 8949 before completing lines 1b, 2, 3, 8b, 9, or 10 of your applicable Schedule D. Free h&r block efile Enter on Schedule D the combined totals from all your Forms 8949. Free h&r block efile For a sale, exchange, or involuntary conversion of business property, complete Form 4797 (discussed later). Free h&r block efile For a like-kind exchange, complete Form 8824. Free h&r block efile See Reporting the exchange under Like-Kind Exchanges in chapter 1. Free h&r block efile For an installment sale, complete Form 6252. Free h&r block efile See Publication 537. Free h&r block efile For an involuntary conversion due to casualty or theft, complete Form 4684. Free h&r block efile See Publication 547, Casualties, Disasters, and Thefts. Free h&r block efile For a disposition of an interest in, or property used in, an activity to which the at-risk rules apply, complete Form 6198, At-Risk Limitations. Free h&r block efile See Publication 925, Passive Activity and At-Risk Rules. Free h&r block efile For a disposition of an interest in, or property used in, a passive activity, complete Form 8582, Passive Activity Loss Limitations. Free h&r block efile See Publication 925. Free h&r block efile For gains and losses from section 1256 contracts and straddles, complete Form 6781. Free h&r block efile See Publication 550. Free h&r block efile Personal-use property. Free h&r block efile   Report gain on the sale or exchange of property held for personal use (such as your home) on Form 8949 and Schedule D (Form 1040), as applicable. Free h&r block efile Loss from the sale or exchange of property held for personal use is not deductible. Free h&r block efile But if you had a loss from the sale or exchange of real estate held for personal use for which you received a Form 1099-S, report the transaction on Form 8949 and Schedule D, even though the loss is not deductible. Free h&r block efile See the Instructions for Schedule D (Form 1040) and the Instructions for Form 8949 for information on how to report the transaction. Free h&r block efile Long and Short Term Where you report a capital gain or loss depends on how long you own the asset before you sell or exchange it. Free h&r block efile The time you own an asset before disposing of it is the holding period. Free h&r block efile If you received a Form 1099-B, (or substitute statement) box 1c may help you determine whether the gain or loss is short-term or long-term. Free h&r block efile If you hold a capital asset 1 year or less, the gain or loss from its disposition is short term. Free h&r block efile Report it in Part I of Form 8949 and/or Schedule D, as applicable. Free h&r block efile If you hold a capital asset longer than 1 year, the gain or loss from its disposition is long term. Free h&r block efile Report it in Part II of Form 8949 and/or Schedule D, as applicable. Free h&r block efile   Table 4-1. Free h&r block efile Do I Have a Short-Term or Long-Term Gain or Loss? IF you hold the property. Free h&r block efile . Free h&r block efile . Free h&r block efile  THEN you have a. Free h&r block efile . Free h&r block efile . Free h&r block efile 1 year or less, Short-term capital gain or  loss. Free h&r block efile More than 1 year, Long-term capital gain or  loss. Free h&r block efile These distinctions are essential to correctly arrive at your net capital gain or loss. Free h&r block efile Capital losses are allowed in full against capital gains plus up to $3,000 of ordinary income. Free h&r block efile See Capital Gains Tax Rates, later. Free h&r block efile Holding period. Free h&r block efile   To figure if you held property longer than 1 year, start counting on the day following the day you acquired the property. Free h&r block efile The day you disposed of the property is part of your holding period. Free h&r block efile Example. Free h&r block efile If you bought an asset on June 19, 2012, you should start counting on June 20, 2012. Free h&r block efile If you sold the asset on June 19, 2013, your holding period is not longer than 1 year, but if you sold it on June 20, 2013, your holding period is longer than 1 year. Free h&r block efile Patent property. Free h&r block efile   If you dispose of patent property, you generally are considered to have held the property longer than 1 year, no matter how long you actually held it. Free h&r block efile For more information, see Patents in chapter 2. Free h&r block efile Inherited property. Free h&r block efile   If you inherit property, you are considered to have held the property longer than 1 year, regardless of how long you actually held it. Free h&r block efile Installment sale. Free h&r block efile   The gain from an installment sale of an asset qualifying for long-term capital gain treatment in the year of sale continues to be long term in later tax years. Free h&r block efile If it is short term in the year of sale, it continues to be short term when payments are received in later tax years. Free h&r block efile    The date the installment payment is received determines the capital gains rate that should be applied not the date the asset was sold under an installment contract. Free h&r block efile Nontaxable exchange. Free h&r block efile   If you acquire an asset in exchange for another asset and your basis for the new asset is figured, in whole or in part, by using your basis in the old property, the holding period of the new property includes the holding period of the old property. Free h&r block efile That is, it begins on the same day as your holding period for the old property. Free h&r block efile Example. Free h&r block efile You bought machinery on December 4, 2012. Free h&r block efile On June 4, 2013, you traded this machinery for other machinery in a nontaxable exchange. Free h&r block efile On December 5, 2013, you sold the machinery you got in the exchange. Free h&r block efile Your holding period for this machinery began on December 5, 2012. Free h&r block efile Therefore, you held it longer than 1 year. Free h&r block efile Corporate liquidation. Free h&r block efile   The holding period for property you receive in a liquidation generally starts on the day after you receive it if gain or loss is recognized. Free h&r block efile Profit-sharing plan. Free h&r block efile   The holding period of common stock withdrawn from a qualified contributory profit-sharing plan begins on the day following the day the plan trustee delivered the stock to the transfer agent with instructions to reissue the stock in your name. Free h&r block efile Gift. Free h&r block efile   If you receive a gift of property and your basis in it is figured using the donor's basis, your holding period includes the donor's holding period. Free h&r block efile For more information on basis, see Publication 551, Basis of Assets. Free h&r block efile Real property. Free h&r block efile   To figure how long you held real property, start counting on the day after you received title to it or, if earlier, the day after you took possession of it and assumed the burdens and privileges of ownership. Free h&r block efile   However, taking possession of real property under an option agreement is not enough to start the holding period. Free h&r block efile The holding period cannot start until there is an actual contract of sale. Free h&r block efile The holding period of the seller cannot end before that time. Free h&r block efile Repossession. Free h&r block efile   If you sell real property but keep a security interest in it and then later repossess it, your holding period for a later sale includes the period you held the property before the original sale, as well as the period after the repossession. Free h&r block efile Your holding period does not include the time between the original sale and the repossession. Free h&r block efile That is, it does not include the period during which the first buyer held the property. Free h&r block efile Nonbusiness bad debts. Free h&r block efile   Nonbusiness bad debts are short-term capital losses. Free h&r block efile For information on nonbusiness bad debts, see chapter 4 of Publication 550. Free h&r block efile    Net Gain or Loss The totals for short-term capital gains and losses and the totals for long-term capital gains and losses must be figured separately. Free h&r block efile Net short-term capital gain or loss. Free h&r block efile   Combine your short-term capital gains and losses, including your share of short-term capital gains or losses from partnerships, S corporations, and fiduciaries and any short-term capital loss carryover. Free h&r block efile Do this by adding all your short-term capital gains. Free h&r block efile Then add all your short-term capital losses. Free h&r block efile Subtract the lesser total from the other. Free h&r block efile The result is your net short-term capital gain or loss. Free h&r block efile Net long-term capital gain or loss. Free h&r block efile   Follow the same steps to combine your long-term capital gains and losses. Free h&r block efile Include the following items. Free h&r block efile Net section 1231 gain from Part I, Form 4797, after any adjustment for nonrecaptured section 1231 losses from prior tax years. Free h&r block efile Capital gain distributions from regulated investment companies (mutual funds) and real estate investment trusts. Free h&r block efile Your share of long-term capital gains or losses from partnerships, S corporations, and fiduciaries. Free h&r block efile Any long-term capital loss carryover. Free h&r block efile The result from combining these items with other long-term capital gains and losses is your net long-term capital gain or loss. Free h&r block efile Net gain. Free h&r block efile   If the total of your capital gains is more than the total of your capital losses, the difference is taxable. Free h&r block efile Different tax rates may apply to the part that is a net capital gain. Free h&r block efile See Capital Gains Tax Rates, later. Free h&r block efile Net loss. Free h&r block efile   If the total of your capital losses is more than the total of your capital gains, the difference is deductible. Free h&r block efile But there are limits on how much loss you can deduct and when you can deduct it. Free h&r block efile See Treatment of Capital Losses, next. Free h&r block efile    Treatment of Capital Losses If your capital losses are more than your capital gains, you can deduct the difference as a capital loss deduction even if you do not have ordinary income to offset it. Free h&r block efile The yearly limit on the amount of the capital loss you can deduct is $3,000 ($1,500 if you are married and file a separate return). Free h&r block efile Table 4-2. Free h&r block efile Holding Period for Different Types of Acquisitions Type of acquisition: When your holding period starts: Stocks and bonds bought on a securities market Day after trading date you bought security. Free h&r block efile Ends on trading date you sold security. Free h&r block efile U. Free h&r block efile S. Free h&r block efile Treasury notes and bonds If bought at auction, day after notification of bid acceptance. Free h&r block efile If bought through subscription, day after subscription was submitted. Free h&r block efile Nontaxable exchanges Day after date you acquired old property. Free h&r block efile Gift If your basis is giver's adjusted basis, same day as giver's holding period began. Free h&r block efile If your basis is FMV, day after date of gift. Free h&r block efile Real property bought Generally, day after date you received title to the property. Free h&r block efile Real property repossessed Day after date you originally received title to the property, but does not include time between the original sale and date of repossession. Free h&r block efile Capital loss carryover. Free h&r block efile   Generally, you have a capital loss carryover if either of the following situations applies to you. Free h&r block efile Your net loss is more than the yearly limit. Free h&r block efile Your taxable income without your deduction for exemptions is less than zero. Free h&r block efile If either of these situations applies to you for 2013, see Capital Losses under Reporting Capital Gains and Losses in chapter 4 of Publication 550 to figure the amount you can carryover to 2014. Free h&r block efile Example. Free h&r block efile Bob and Gloria Sampson sold property in 2013. Free h&r block efile The sale resulted in a capital loss of $7,000. Free h&r block efile The Sampsons had no other capital transactions. Free h&r block efile On their joint 2013 return, the Sampsons deduct $3,000, the yearly limit. Free h&r block efile They had taxable income of $2,000. Free h&r block efile The unused part of the loss, $4,000 ($7,000 − $3,000), is carried over to 2014. Free h&r block efile If the Sampsons' capital loss had been $2,000, it would not have been more than the yearly limit. Free h&r block efile Their capital loss deduction would have been $2,000. Free h&r block efile They would have no carryover to 2014. Free h&r block efile Short-term and long-term losses. Free h&r block efile   When you carry over a loss, it retains its original character as either long term or short term. Free h&r block efile A short-term loss you carry over to the next tax year is added to short-term losses occurring in that year. Free h&r block efile A long-term loss you carry over to the next tax year is added to long-term losses occurring in that year. Free h&r block efile A long-term capital loss you carry over to the next year reduces that year's long-term gains before its short-term gains. Free h&r block efile   If you have both short-term and long-term losses, your short-term losses are used first against your allowable capital loss deduction. Free h&r block efile If, after using your short-term losses, you have not reached the limit on the capital loss deduction, use your long-term losses until you reach the limit. Free h&r block efile To figure your capital loss carryover from 2013 to 2014 use the Capital Loss Carryover Worksheet in the 2013 Instructions for Schedule D (Form 1040). Free h&r block efile Joint and separate returns. Free h&r block efile   On a joint return, the capital gains and losses of spouses are figured as the gains and losses of an individual. Free h&r block efile If you are married and filing a separate return, your yearly capital loss deduction is limited to $1,500. Free h&r block efile Neither you nor your spouse can deduct any part of the other's loss. Free h&r block efile   If you and your spouse once filed separate returns and are now filing a joint return, combine your separate capital loss carryovers. Free h&r block efile However, if you and your spouse once filed jointly and are now filing separately, any capital loss carryover from the joint return can be deducted only on the return of the spouse who actually had the loss. Free h&r block efile Death of taxpayer. Free h&r block efile   Capital losses cannot be carried over after a taxpayer's death. Free h&r block efile They are deductible only on the final income tax return filed on the decedent's behalf. Free h&r block efile The yearly limit discussed earlier still applies in this situation. Free h&r block efile Even if the loss is greater than the limit, the decedent's estate cannot deduct the difference or carry it over to following years. Free h&r block efile Corporations. Free h&r block efile   A corporation can deduct capital losses only up to the amount of its capital gains. Free h&r block efile In other words, if a corporation has a net capital loss, it cannot be deducted in the current tax year. Free h&r block efile It must be carried to other tax years and deducted from capital gains occurring in those years. Free h&r block efile For more information, see Publication 542. Free h&r block efile Capital Gains Tax Rates The tax rates that apply to a net capital gain are generally lower than the tax rates that apply to other income. Free h&r block efile These lower rates are called the maximum capital gains rates. Free h&r block efile The term “net capital gain” means the amount by which your net long-term capital gain for the year is more than your net short-term capital loss. Free h&r block efile For 2013, the maximum tax rates for individuals are 0%, 15%, 20%, 25%, and 28%. Free h&r block efile Also, individuals, use the Qualified Dividends and Capital Gain Worksheet in the Instructions for Form 1040, or the Schedule D Tax Computation Worksheet in the Instructions for Schedule D (Form 1040) (whichever applies) to figure your tax if you have qualified dividends or net capital gain. Free h&r block efile For more information, see chapter 4 of Publication 550. Free h&r block efile Also see the Instructions for Schedule D (Form 1040). Free h&r block efile Unrecaptured section 1250 gain. Free h&r block efile   Generally, this is the part of any long-term capital gain on section 1250 property (real property) that is due to depreciation. Free h&r block efile Unrecaptured section 1250 gain cannot be more than the net section 1231 gain or include any gain otherwise treated as ordinary income. Free h&r block efile Use the worksheet in the Schedule D instructions to figure your unrecaptured section 1250 gain. Free h&r block efile For more information about section 1250 property and net section 1231 gain, see chapter 3. Free h&r block efile Form 4797 Use Form 4797 to report: The sale or exchange of: Property used in your trade or business; Depreciable and amortizable property; Oil, gas, geothermal, or other mineral properties; and Section 126 property. Free h&r block efile The involuntary conversion (from other than casualty or theft) of property used in your trade or business and capital assets held in connection with a trade or business or a transaction entered into for profit. Free h&r block efile The disposition of noncapital assets (other than inventory or property held primarily for sale to customers in the ordinary course of your trade or business). Free h&r block efile The disposition of capital assets not reported on Schedule D. Free h&r block efile The gain or loss (including any related recapture) for partners and S corporation shareholders from certain section 179 property dispositions by partnerships (other than electing large partnerships) and S corporations. Free h&r block efile The computation of recapture amounts under sections 179 and 280F(b)(2) when the business use of section 179 or listed property decreases to 50% or less. Free h&r block efile Gains or losses treated as ordinary gains or losses, if you are a trader in securities or commodities and made a mark-to-market election under Internal Revenue Code section 475(f). Free h&r block efile You can use Form 4797 with Form 1040, 1065, 1120, or 1120S. Free h&r block efile Section 1231 gains and losses. Free h&r block efile   Show any section 1231 gains and losses in Part I. Free h&r block efile Carry a net gain to Schedule D (Form 1040) as a long-term capital gain. Free h&r block efile Carry a net loss to Part II of Form 4797 as an ordinary loss. Free h&r block efile   If you had any nonrecaptured net section 1231 losses from the preceding 5 tax years, reduce your net gain by those losses and report the amount of the reduction as an ordinary gain in Part II. Free h&r block efile Report any remaining gain on Schedule D (Form 1040). Free h&r block efile See Section 1231 Gains and Losses in chapter 3. Free h&r block efile Ordinary gains and losses. Free h&r block efile   Show any ordinary gains and losses in Part II. Free h&r block efile This includes a net loss or a recapture of losses from prior years figured in Part I of Form 4797. Free h&r block efile It also includes ordinary gain figured in Part III. Free h&r block efile Mark-to-market election. Free h&r block efile   If you made a mark-to-market election, you should report all gains and losses from trading as ordinary gains and losses in Part II of Form 4797, instead of as capital gains and losses on Form 8949 and Schedule D (Form 1040). Free h&r block efile See the Instructions for Form 4797. Free h&r block efile Also see Special Rules for Traders in Securities, in chapter 4 of Publication 550. Free h&r block efile Ordinary income from depreciation. Free h&r block efile   Figure the ordinary income from depreciation on personal property and additional depreciation on real property (as discussed in chapter 3) in Part III. Free h&r block efile Carry the ordinary income to Part II of Form 4797 as an ordinary gain. Free h&r block efile Carry any remaining gain to Part I as section 1231 gain, unless it is from a casualty or theft. Free h&r block efile Carry any remaining gain from a casualty or theft to Form 4684. Free h&r block efile Prev  Up  Next   Home   More Online Publications