Updated October 18, 2026. Quick answer: Line 19 takes one number from the Unrecaptured Section 1250 Gain Worksheet in the Schedule D instructions. It matters mainly if you sold real property you depreciated, such as a rental building, held more than one year, or if a K-1, Form 1099-DIV or Form 2439 reports unrecaptured section 1250 gain. If no situation applies, line 19 is blank or zero.
Read box by box from the IRS form text: Form 2439 boxes 1a to 1d.
S corporation return (Form 1120-S) for 2025, read line by line: Form 1120-S Schedule K lines 5 to 10.
Partnership return (Form 1065) for 2025, read line by line: Form 1065 Schedule K lines 5 to 11.
What line 19 asks for
The caption reads: “If you are required to complete the Unrecaptured Section 1250 Gain Worksheet (see instructions), enter the amount, if any, from line 18 of that worksheet”. Like line 18, you reach it only after a Yes on line 17. See the lines 16 and 17 page for that test and the Schedule D (Form 1040) page for the whole form.
When the worksheet is required
The instructions list situations that trigger the worksheet for 2025. Among them: you “sold or otherwise disposed of section 1250 property (generally, real property that you depreciated) held more than 1 year.”
Other triggers: you “received installment payments for section 1250 property held more than 1 year for which you are reporting gain on the installment method.” Or you “received a Schedule K-1 from an estate or trust, a partnership, or an S corporation that shows “unrecaptured section 1250 gain.””
And you “received a Form 1099-DIV or Form 2439 from a real estate investment trust or regulated investment company (including a mutual fund) that reports “unrecaptured section 1250 gain.”” Finally, you “reported a long-term capital gain from the sale or exchange of an interest in a partnership that owned section 1250 property.”
A rental that became a personal home
The worksheet instructions give an example of an entry that is easy to miss: “An example of an amount to include on line 12 is unrecaptured section 1250 gain from the sale of a vacation home you previously used as a rental property but converted to personal use prior to the sale.” If this is your situation, the converting a home to a rental page covers the opposite move, and depreciation recapture explains how depreciation shows up at sale.
Fund and K-1 amounts
“If there is an amount in box 2b, include that amount on line 11 of the Unrecaptured Section 1250 Gain Worksheet in these instructions if you complete line 19 of Schedule D.” A partnership interest has its own instruction: “Include on line 10 your share of the partnership’s unrecaptured section 1250 gain that would result if the partnership had transferred all of its section 1250 property in a fully taxable transaction immediately before you sold or exchanged your interest in that partnership.”
Where the number comes from
Line 19 is not figured on Schedule D. It comes from the Unrecaptured Section 1250 Gain Worksheet, a page in the Schedule D instructions that you keep with your records. The worksheet draws on Form 4797, Form 6252, Schedule K-1, Form 1099-DIV, Form 2439 and your Schedule D loss and carryover lines. See the Form 4797 and Form 6252 pages for the forms behind those entries. With more than one property: “If you had more than one property described on line 1, complete lines 1 through 3 for each property on a separate worksheet.”
Where it goes next
Line 20 asks “Are lines 18 and 19 both zero or blank and you are not filing Form 4952?” The line 20 page explains which tax worksheet each answer sends you to. The related line 18 page covers the 28% worksheet.
Edition and line numbers
This page reads the 2025 Schedule D (Form 1040) and its 2025 instructions, the current files irs.gov served on 2026-10-18 (byte-identical to the archived copies). They are the files for the tax year 2025 return, filed in 2026. The schedule says “Attach to Form 1040, 1040-SR, or 1040-NR.” Check the tax year printed on the schedule you are filling in and use the line numbers on that year’s schedule, because a different year’s schedule can number or word its lines differently.
Common mistakes
- Skipping the worksheet because the property is now your home. The instructions give “a vacation home you previously used as a rental property but converted to personal use prior to the sale.” as an example of an amount to include.
- Putting several properties on one worksheet. The instructions say “If you had more than one property described on line 1, complete lines 1 through 3 for each property on a separate worksheet.”
- Ignoring a mutual fund or REIT amount. The instructions say “If there is an amount in box 2b, include that amount on line 11 of the Unrecaptured Section 1250 Gain Worksheet”
Related: Schedule D (Form 1040), Form 4797, Form 6252, depreciation recapture, and converting a home to a rental page.
Sources
- Instructions for Schedule D (Form 1040), Capital Gains and Losses (2025): https://www.irs.gov/pub/irs-pdf/i1040sd.pdf
- Schedule D (Form 1040), Capital Gains and Losses (2025): https://www.irs.gov/pub/irs-pdf/f1040sd.pdf
Read from the IRS documents linked above on October 18, 2026. General information, not tax advice. Your own facts decide the outcome, and a preparer, the account provider or the IRS is the right place to confirm anything consequential.