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2013 Form 4562 Depreciation And Amortization Report

planetxprs — Mon, 29 Mar 2021 06:38:38 GMT

I have a printout from 2013 TurboTax business Form 4562 Depreciation And Amortization Report. In there there's the following asset

Asset Description= Semi Tractor, Date in Service= 8/9/13, Cost=134,300, Biz Use=100%, Depreciable Basis=134,300, Life=5.00, Method/Convention= 200DB/HY, Current Depreciation=17,907, Accumulated Depreciation= 17,907

Can someone help me understand how the 17,907 amount was calculated? All the info that i could find says that depreciation for first year 5yr 200DB/HY should be 20%

Re: 2013 Form 4562 Depreciation And Amortization Report

NashayLO — Mon, 29 Mar 2021 16:54:44 GMT

Please review this IRS website in regards to depreciation calculations, Instructions for Form 4562 Depreciation and Amortization

Re: 2013 Form 4562 Depreciation And Amortization Report

planetxprs — Mon, 29 Mar 2021 18:19:12 GMT

Right, so it looks like i should be using Table A, General Depreciation System, Method: 200% declining balance switching to straight line, convention: half-year, recovery period 5years. Which says that first year should be 20% Can you be a bit more specific on why TurboTax printout depreciated what looks to be around 13% in my case?

Re: 2013 Form 4562 Depreciation And Amortization Report

gloriah5200 — Tue, 30 Mar 2021 23:05:53 GMT

Sorry, but I don't think you set it up correctly.

Generally an 18 wheeler tractor is depreciated over 3 years instead of 5 like a smaller vehicle. You need to select "truck driver for over-the-road use" in the "type of vehicle" in the vehicle section to set it up correctly.

An 18 wheeler tractor cannot take the standard mileage rate due to it's vehicle weight.

The half year convention says that a half year depreciation is taken the first year placed in service for depreciation purposes and the last year for depreciation purposes.

Here are links to IRS Publications 946 (Depreciation) and 463 (vehicle expenses)

IRS Publication 946

IRS Publication 463

[Edited 03/30/2021|3:05 pm pst]