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Get your taxes done using TurboTax
You may need to estimate the fair market value of the vehicle when you took possession of it. You must have some idea of how much it cost when it was purchased new, divide that by ten and then multiply it by the number of years applicable to when you took possession of it, then subtract that amount from the cost and that is an estimate of the fair market value.
The basis for gain or loss would be the fair market value when you took possession of the vehicle, less depreciation deducted over the years, plus any improvements you made to the vehicle.
You do need to determine if you had a gain on the sale of the vehicle as it is taxable income. You need to subtract from the sales proceeds the basis to determine what your gain is.
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‎February 8, 2022
1:09 PM