I agree with @AmeliesUncle .
You have two transactions going on here.
- First you "sold" a business asset that was fully depreciated and received $17,000. You just need to indicate in TT that the vehicle was sold. This will generate a $17,000 gain on the form 4797.
- Second, you then used those proceeds to purchase another vehicle; a personal vehicle.
- These two transactions are separate. There is no conversion of a business vehicle to personal vehicle. The business vehicle is gone.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
