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Level 1
posted Apr 7, 2020 5:27:50 PM

Tractor/ writing off interest

We have a farm my husband bought a tractor, not new, but out 10,000. Down and finances the other 18,500. Where do I put the interest, and do I only put what we put down and our total for payments in 2019?

0 2 521
2 Replies
Expert Alumni
Apr 8, 2020 10:39:19 AM

You will use the total purchase price of the tractor for depreciation which from your question appears to be $28,500.  You will report the interest on Schedule F Profit or Loss from Farming Part II Line 21b

Level 1
Apr 8, 2020 3:10:16 PM

Thank you so much for the info..