Hi,
I bought a used truck in June, intending to use it primarily in my business. My purchase price was $15,000, with additional licensing and taxes on top of that. 6 days after purchase and with under 150 miles I put on it, it was stolen.
It was recovered, but so badly damaged and contaminated with meth, the insurance company totaled it out.
Their payout was $27,334.83, which included their Actual Cash Value, taxes, title transfer, less my deductible. I did use almost all of that to purchase a very similar condition & mileage, same model year, replacement truck (also used, not new).
I saw other community questions and answers, but am unclear how to treat this in turbo tax.
Do I say a placed the stolen truck in service for my business for the 6 days? 90 of the 150 miles was just getting it home from the city where I bought it, I used it twice for business for 40 miles, the other 20 miles were going to a shop to make an appt to have oil and other fluids changed, plus a trip to the licensing agency.
I'm also unclear on my basis for the replacement truck - is it what I paid for the stolen one?
Thanks in advance.
