Sale of Section 1244 (small business) stock

Question 1

Ordinary loss from sale, exchange, or worthlessness of small business (section 1244) stock

Answer 1

Report the loss on Form 4797. However, if the total loss is more than the maximum amount that can be treated as an ordinary loss for the year ($50,000 or, joint return $100,000) also report the loss exceed maximum amount on Form 8949.