is it normal that turbo tax has used SL - HY for the vehicle in 2021 and used 200DB/HY in 2022?

[yj0]

@HopeS  I don't think I need 3115 because I'm not selecting a depreciation method that's different from last year (which turbo tax selected for me). I just want turbotax allows me to select the method that I'm using last year. 

[HopeS]

Correct, now that I have a better understanding you don't need to file Form 3115. The return is computing the correct depreciation in 2022 and you should file the return as is.  You should not try to override the depreciation method.

MACRS is applicable when you use the vehicle for 50% or more. The straight line is applicable when you used the business for 5% or less or in the first year you used the standard mileage was used the 1st year that you placed the vehicle in the business. 

As pointed out by @AliciaP1, ln the first year placed in service, you can use standard mileage rates or actual expenses for your vehicle.  If you use actual expenses, you depreciate your vehicle with the MACRS 200DB/HY method.  If you use the standard mileage deduction in the first year, you can switch to actual expenses. However, before the car is fully depreciated you must use the SL depreciation over the estimated remaining useful life of the car.

Per the IRS:

Generally, the Modified Accelerated Cost Recovery System (MACRS) is the only depreciation method that can be used by car owners to depreciate any car placed in service after 1986. However, if you used the standard mileage rate in the year you place the car in service and change to the actual expense method in a later year and before your car is fully depreciated, you must use straight-line depreciation over the estimated remaining useful life of the car. There are limits on how much depreciation you can deduct. For additional information on the depreciation limits, please refer to Topic No. 704. Publication 463, Travel, Entertainment, Gift, and Car Expenses explains the depreciation limits and discusses special rules applicable to leased cars.

@yj0 

[AliciaP1]

It would be helpful to have a TurboTax ".tax2022" file that is experiencing this issue.

You can send us a “diagnostic” file that has your “numbers” but not your personal information.  If you would like to do this, here are the instructions: 

Go to the black panel on the top of your screen and select Online. 

1. Scroll down to and select Send tax file to Agent. 
2. You will see a message explaining what the diagnostic copy is.  Click send through this screen and then you will get a Token number. 
3. Reply to this thread with your Token number. This will allow us to open a copy of your return without seeing any personal information.  

We will then be able to see exactly what you are seeing and we can determine what exactly is going on in your return and provide you with a resolution.

@yj0