Should I enter in the sales price for the trade-in the net amount or the full trade-in amount? Dealer offered $16,000 but most went to the loan. Net trade-in was $2001.

christine76 · ‎June 1, 2019

Vanessa · ‎June 1, 2019

The full trade-in will be entered. Otherwise, you would be underreporting the amount you received for it since you would have reported the full purchase price that the loan was used to pay.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

View solution in original post

Vanessa · ‎June 1, 2019

The full trade-in will be entered. Otherwise, you would be underreporting the amount you received for it since you would have reported the full purchase price that the loan was used to pay.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

Expert does your taxes

Do it yourself

Resources

Support

Should I enter in the sales price for the trade-in the net amount or the full trade-in amount? Dealer offered $16,000 but most went to the loan. Net trade-in was $2001.