CCH Axcess Tax

Using the Sale Number Box

The "Automatic Sale" feature carries date placed in service, date sold, asset cost, total depreciation, excess depreciation from December 31, 1969 through December 31, 1975, and excess depreciation after December 31, 1975, to a corresponding entry made on the applicable worksheets for Schedule D or Form(s) 4797, 4684, 6252, and 8824 for each asset sold. Please refer to the "Sale/Exchange of Assets" instruction guide section for additional information.

Enter a number, up to four digits, in the "Sale Number" field and also a "Date Sold" entry on the Depreciation and Amortization worksheet, General section for each asset sold. Enter the identical sale number in the "Sale Number" field of Gains and Losses worksheet, Installment Sales worksheet, or Like-Kind Exchanges worksheet to tie the information together. Do not make entries in this field unless the "Automatic Sale" feature is being used.

Make the following entries on the Depreciation and Amortization worksheet, General section to compute depreciation correctly:

Date Placed In Service
Date Sold
Cost
Method
Life/Rate
Accumulated Depreciation

Caution: Accumulated depreciation must be computed in strict accordance with the depreciation method entered. If not, the computations may be incorrect. Also, if the business use percentage of the asset was less than 100 percent throughout the asset life, additional entries are required on the Depreciation and Amortization worksheet, Listed Property and Percent Excluded section, as explained below.

Notes:

Bulk Sales. More than one asset from the Depreciation and Amortization worksheet, Depreciation section can be included in a single sale if all assets have the same holding period and property classification. Simply enter the same "Sale Number" on the Depreciation and Amortization worksheet, General section for each asset as entered on the Gains and Losses worksheet, Installment Sales worksheet, or Like-Kind Exchanges worksheet .
When using the "Automatic Sale" feature, an entry of "999999" in the "Date Placed in Service" field or negative entries in the "Cost or Other Basis," Accumulated Depreciation" and "Current Year Depreciation" field are not valid entries.

Make the following entries on the Depreciation and Amortization worksheet, Listed Property and Percent Excluded section to compute depreciation correctly for property with less than 100 percent business use:

Percent excluded for each year
Business Use Accumulated Depreciation
Business Use Accumulated AMT
Excluded Section 179/Bonus
Business Use Bonus
Excluded ITC Basis

Caution: The cost of the asset is not reduced to reflect only the business use portion. If the asset is sold at a loss, the business use percentage of the cost must be entered on the Gains and Losses worksheet, Installment Sales worksheet, or Like-Kind Exchanges worksheet.