U.S. · Tax forms
Form 4797 line 1a, gross proceeds reported to you.
What goes on line 1a, which 1099s count, and why it is only a reconciling total.
Line 1a asks for the gross proceeds from sales or exchanges reported to you for 2025 on Form(s) 1099-B or 1099-S (or a substitute statement) that you are including on line 2, 10 or 20. It is a reconciling total. The sale itself is still reported on line 2, 10 or 20.
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What the 2025 Form 4797 says
| Item | Meaning | What the IRS says |
|---|---|---|
| Real estate sales | Form 1099-S proceeds | Total gross proceeds from sales or exchanges of real estate reported to you for 2025 on Form(s) 1099-S (or substitute statement) that you are including on line 2, 10 or 20 |
| Securities and commodities | Form 1099-B, traders only | Sales of securities or commodities reported to you for 2025 on Form(s) 1099-B (or substitute statement) that you are including on line 10 because you are a trader with a mark-to-market election under section 475(f) in effect for the tax year |
| Which lines the sale is on | Line 2, 10 or 20 | Only proceeds for transactions you are including on line 2, 10 or 20 are counted on line 1a |
| Substitute statements | Allowed | The form says Form(s) 1099-B or 1099-S “(or substitute statement)” |
| Partial dispositions of MACRS assets | Not line 1a | Gain and loss from partial dispositions go on the separate lines 1b and 1c |
| Where to read more | Traders and line 10 | The line 1a instructions send traders to “Traders Who Made a Mark-to-Market Election” and to the line 10 instructions |
What line 1a is for
Lines 1a through 1c sit above Part I. It does not change the gain or loss, which is figured on lines 2, 10 and 20.
Real estate sales on 1099-S
If you sold business real estate and received a Form 1099-S (or a substitute statement), the gross proceeds shown, for the sales you include on line 2, 10 or 20, are the line 1a amount.
Traders with a mark-to-market election
The instructions add securities and commodities sales reported on Form 1099-B, but only when you include them on line 10 because you are a trader with a section 475(f) mark-to-market election in effect for the year.
Worked example
Priya sold a small warehouse used in her business in 2025 and received a Form 1099-S showing gross proceeds of $410,000. She reports the sale on line 2 of Part I. Line 1a shows $410,000. If she also had a second 1099-S sale of $150,000 that she reports on line 20 in Part III, line 1a would be $560,000. Names and figures are made up.
More line pages in this set
Related lines: Form 4797 Line 1b, Form 4797 Line 10.
Sources
- Instructions for Form 4797 (2025): the line-by-line instructions on this page. Page last reviewed or updated April 30, 2026. Read November 2, 2026.
- Form 4797, Sales of Business Property (2025): the printed line wording and arithmetic on the form. Read November 2, 2026.
Tax year 2025 form and instructions. Line labels were read from the IRS PDF posted on the date read; line numbers, dollar limits and cutoff years change between editions, so check them against the form for your tax year. Line 1a reconciles reported proceeds; it does not decide whether a sale belongs on Form 4797 at all. Names in worked examples are made up.
Frequently asked questions
What goes on Form 4797 line 1a?
The gross proceeds from sales or exchanges reported to you for 2025 on Form(s) 1099-B or 1099-S (or a substitute statement) that you are including on line 2, 10 or 20.
Do I include every 1099-S?
Include the proceeds for the sales you are including on line 2, 10 or 20. A 1099-S for a sale reported elsewhere is not part of line 1a.
Does line 1a change my gain or loss?
No. The instructions treat it as a figure to enter; the gain or loss is figured in the columns on lines 2, 10 and 20.
Why would 1099-B appear on a business form?
For a trader with a section 475(f) mark-to-market election, securities and commodities gains and losses are reported on line 10, so the related 1099-B proceeds are counted on line 1a.
What are lines 1b and 1c?
They are the total gain and total loss from partial dispositions of MACRS assets that you include on the lines the form specifies.
Not tax advice
This page summarizes IRS instructions, mostly written for the people who prepare the form, and is not tax, legal or financial advice. A CPA or an enrolled agent can confirm what a line means for your return. Everything runs in your browser; nothing you enter is sent anywhere.