Vanessa A
Expert Alumni

Deductions & credits

You may be able to deduct the balance of the loan, but it depends on a few things.

1) When you bought the car, did you take a full deduction for it since you use it for mostly business?

2) How much depreciation have you taken on the car?

 

You would walk through the steps in the business section >>vehicle expenses to report the disposal of your vehicle.  This will help you report the loss from the repossession. 

 

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