Hello all
I need help with the early turn-in of a leased business vehicle.
I turned in a leased truck before lease-end and the dealer issued a check to me for equity I had in the vehicle, which was $6,000. I did not purchase or lease a new vehicle from this dealer as part of this transaction.
I entered all of the relevant expenses, mileage, and the date I disposed of the vehicle.
Turbotax (Federal) did not request any info regarding the $6,000 I received from the dealer, I guess because I did not own the vehicle and it's not seen as a asset sale. Therefore there is no reference to this income on Schedule C or D...
However, when I continued to the state (PA) prep sections, the "sale" is showing on PA Schedule D. During the state review I am prompted to enter cost basis and sale price. My cost basis for the truck is minimal so the capital gain is almost the full $6,000 which seems correct to me.
Why is this not showing anywhere on my Federal return but is automatically transferred to my state return?
And how do I correct the Federal without it transferring a second time to the state return?
