Capital Gains or Losses that Must Be Reported on Other Schedules
Business Property
If you have gains or losses on the sale, exchange, or involuntary conversion of capital and non-capital assets used in your trade or business, you may have to file Form 4797, Sales of Business Property. Business property would include inventory held for sale to customers, accounts and notes receivable, real estate and depreciable property used in your trade or business, and copyrights or similar intellectual property, among others.
Depending on the circumstances, the gain or loss on the sale, exchange, or disposal of business property may be a capital gain or loss, or ordinary income or loss. You would also use Form 4797 to report ordinary loss on the sale, exchange, or worthlessness of small business investment company (section 1242) stock, and small business company (section 1244) stock. The section numbers come from the IRS codes where these provisions are legally established.
Securities Trader
If you are considered to be a trader in securities, just like an investor, you must report each sale of securities on Schedule D and D-1. Schedule D-1 is a continuation form with additional lines, if you do not have enough room on Schedule D. You can also use an attached statement of your own.
But if as a trader you make a mark-to-market election, each transaction is reported in Part II of Form 4797 instead of on Schedules D and D-1.
Other Schedules You May Need To Use
If you have installment sales, (a sale in which you will receive a payment in a tax year after the year of sale) you may need to complete Form 6252, Installment Sale Income.
If you have involuntary conversions due to casualty or theft, you need to file Form 4684, Casualties and Thefts.
If you have gains and losses from section 1256 contracts and straddles, you would file Form 6781. Section 1256 contracts include regulated futures contracts, foreign currency contracts, non-equity options, dealer equity options, and dealer securities futures contracts.
Use Form 8824 to report like-kind exchanges, when you exchange business or investment property for a similar type of property.
After completing the above schedules, as required, the results are consolidated on Schedule D. Also, gains or losses from partnerships, S Corporations, estates and trusts, as reported on schedule K-1 are included on a separate line on Schedule D.