S corp has owned a truck since 2005. In 2018 it blew the engine. We have chosen to just scrap it w/no reimbursement. How do I report this to the IRS? It isn't a sale.

Memawmac · ‎June 4, 2019

When I enter zero as sale price I get alerts. Can I do this?

DanielV01 · ‎June 4, 2019

You don't report it. It's not considered a sale that needs to be reported. The car by default has been fully depreciated, and the "sales price" is $0 so there is neither gain nor loss and nothing further to report. You will remove the vehicle as an asset and stop claiming expenses on it (but keep records in case the IRS should ask questions about it).

If you enter it into TurboTax with a $0 sale as a fully depreciated asset, TurboTax will tell you to only enter sales that had profit to them. This "sale" does not need to be reported.

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S corp has owned a truck since 2005. In 2018 it blew the engine. We have chosen to just scrap it w/no reimbursement. How do I report this to the IRS? It isn't a sale.