KrisD15
Expert Alumni

Get your taxes done using TurboTax

You can report that you "sold" it to your husband's business. 

Enter the Fair Market Value as the selling price. 

This Fair Market Value will be the basis for the business vehicle for your husband's business. 

 

 

When you report this disposition of your business vehicle, you will (or rather the program will do it for you) subtract your adjusted basis from the Fair Market Value. Your "Adjusted Basis" is your original basis less depreciation claimed. 

 

If that results in "depreciation recapture" you will need to claim that amount as other income on your 1040 (personal income). 

 

Or, Yes, as Critter-3 says, you can also convert  it, then reassign it. 

That way you would be liable for recapturing the 179 deduction and or bonus deduction, but the other depreciating would continue with the vehicle.

 

Your husband would need to subtract your remaining depreciation from his basis in the vehicle.

 

@grizz2

 

[Edited 03/21/2022 I 5:29pm PST]

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