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dlgault
New Member

Do I still need to enter the new car being used partially for business after completing the prompts for "selling old, bought another scenario"?

 
3 Replies
DianeW
Expert Alumni

Do I still need to enter the new car being used partially for business after completing the prompts for "selling old, bought another scenario"?

Yes. After you have completed the vehicle questions about the sale and purchase of a new vehicle it looks like you will then have to add the new vehicle.  The first section is trying to determine if there is taxable gain and will give you a "cost basis" for your new car.

If you are using the standard mileage rate for all cars, both old and new, then the depreciation figure isn't as important, however you should know how to calculate it because by trading vehicles there is not gain to report because it "transfers" to the new vehicle in a manor of speaking.

For all business miles used there is a portion of the standard mileage rate that is considered depreciation each year. You can use the chart attached to find that rate and use the business miles each year to arrive at the total depreciation figure for your old car (also the AMT depreciation figure).

[Edited: 02.06.2018 | 12:18 PM]

dlgault
New Member

Do I still need to enter the new car being used partially for business after completing the prompts for "selling old, bought another scenario"?

so why does it show the old car info and not change it to the new cars info? Ex: still shows the make and model of old car
DianeW
Expert Alumni

Do I still need to enter the new car being used partially for business after completing the prompts for "selling old, bought another scenario"?

@dlgault Thank you for alerting me.  I have updated the answer and included an image.  The additional information is important when the next/new vehicle is disposed of as well.  A record book with all the business miles is helpful for the trade-in or sale year for your vehicle.

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