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Deductions & credits
The solution is to revisit the Asset section and adjust your entry.
Return to this area of your return and Edit the vehicle input.
Check what is being reported for last year's depreciation and make sure it is less than what you are reporting as the basis for the vehicle.
You may want to delete the Vehicle entry completely and start over on reporting the Vehicle Expense.
Actual expenses include depreciation, gas and maintenance.
Alternatively, standard mileage includes depreciation in the rate per mile that is deductible. It must be used the first year if you want to be able to choose between Actual or Standard. You must keep a log of business miles and purpose of each trip.
For more information, see: Can I deduct mileage?
March 16, 2021
9:30 AM