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Level 2
posted May 13, 2021 1:58:00 PM

Turbo Tax Review says my vehicle depreciation allowed or allowable is too large on a car that was sold.

Turbo Tax Review says my "vehicle depreciation allowed or allowable is too large".  Sold the vehicle in July 2020 after using it 6 years for business.  I have no idea what or where to make changes.  Looking at the form  (Car and Truck Expense worksheet)  doesn't help as the line in red isn't something I can edit. (line 51)

 

Also, did some prep work on the car in the process of getting ready to sell.  Could that be a cost of sale expense instead of the normal business expense for the car?  (Oil change, smog check, and a couple of maintenance items).

0 2 514
2 Replies
Level 15
May 13, 2021 8:33:43 PM

TurboTax is NOT set up to report the sale of an asset (such as a vehicle) that has varies in business percentage from year to year.  It has problems on several levels.

 

You may want to go to a tax professional this year to properly report that.

Level 2
May 14, 2021 2:48:02 PM

Thanks! I played around with the numbers a bit and got it to work, though I don't understand why.  It wasn't much money, it just didn't seem to like what the entries were.