"When you convert an asset to personal use, there is no gain to report. However, you must report any section 179 recapture this year. "
There are two separate components in that paragraph:
1. Gain
2. Depreciation recapture.
As stated above, depreciation recapture is reported in the year that the asset is converted to personal use.
Note: Depreciation recapture only applies to assets that are "listed assets", such as passenger vehicles.
