Business or Income Property

If you had a loss to income-producing property, complete Section B of Form 4684, and transfer the loss to Schedule A as a miscellaneous itemized deduction.

If you had a gain to income-producing property, or if you had a gain or loss to trade or business property or rental or royalty property, complete Section B of Form 4684 and then transfer the gain or loss to Form 4797, Sales of Business Property. Again, you can elect to postpone tax on the gains by purchasing replacement property and attaching a statement to that effect to your tax return, as described above.