I bought a new truck and trailer to use for my business. Are they deductable?

[MollsBBU · Accepted solution]

Your truck and trailer would be considered depreciable assets for your business. Depreciation assumes that assets used to generate business income will wear out, get used up, or become increasingly obsolete over a period of time. For taxation purposes, depreciation lets you deduct the "used up" portion of that asset's cost every year, until the entire cost is used up or the business no longer owns the asset.

To enter your truck:

1. Click the Business tab at the top
2. Then, you may see Continue, then I'll choose what I work on
3. Under the "Business Income and Expenses" section, next to "Profit or Loss from Business", click Start or Update/Revisit
   --If you haven't input your business information already, you will be prompted to at this point
   --Or, if you land on the "Here's the business info we have so far" page, click Edit next to your Business
4. From the "Your Business" page, scroll down to the "Business Expenses" section. 
5. Select the Business Vehicle Expense section - You will be guided towards best overall deduction using either actual expenses (including depreciation) or based on miles driven and mileage rate.

To enter your trailer purchase, follow steps 1-3 above, then the following: 

1. Scroll down to the "Business Assets" section. Next to "Assets Being Depreciated" click Start or Update/Revisit
2. Answer Yes to the first question, then follow the on-screen prompts to enter information about your purchases.

For more information, please see the following TurboTax FAQ:

https://ttlc.intuit.com/replies/3302228