Ah, I see. I did not realized the value was also being multiplied by the business use percentage In this case I suppose the gain is the same either way, but for future reference, is Turbo tax automatically adjusting FMV I enter down to the business portion? Meaning should I put the full value at $1500 and TT will automatically adjust, or do I need to enter the adjusted amount of 240 on that line myself?
Also, can you clarify so I'm sure- that amount I enter for the Vehicle Cost section, (either the purchase price of FMV price) should also go into the next section called "lets get info on your gain or loss basis" section, where it asks for basis/gain loss (enter 100% of basis ) as well as basis for AMT basis gain/loss (100% of basis ) ?
And the next section for prior depreciation equivalent must then be 240 (Even if the full amount is 1000) since the depreciation cannot exceed the original value? Or should I be putting both the full value amoutn of 1500 for the value and then the full depreciation of 1000 in the prior depreciation section?
Is that all correct?
What I'm not following is, for experiment sake, if I type in the value of the car was 10,000 when I got it/it went into service and type my prior depreciation is1000, and purchase value (business portion) was the same 120, shouldn't I have a huge loss? When I did this to test what would happen, it showed only a loss of $243. Is this because TT is automatically calculating biz percentage of the 10000, making it 1600? But even then, with 1000 depreciation, shouldnt I have a bigger loss since adjusted value is 600 and I got 120 from the sale? What am I missing here?
