No, you usually cannot claim a loss on the sale of a motorhome if it was only used for personal purposes. However, there are three (3) scenarios that may allow you to claim the loss.
1). If you used the motorhome for a trade or business (e.g., a mobile office, traveling for work, or as a rental), you can deduct the portion of the loss that corresponds to its business use.
E.g., if you used it 40% for business (and 60% for personal trips), you can claim 40% of the loss on Form 4797. You must have kept a mileage log or records proving the business usage
2). If you bought the motorhome to rent it out to make a profit (and didn't use it for family vacations), it is treated as an investment asset.
The loss would be reported on Schedule D (Capital Gains and Losses), subject to the $3,000 annual limit on capital losses.
3). If your "loss" was from a fire or storm, you can sometimes claim a casualty loss. The IRS only allows these deductions if the damage occurred in a Federally Declared Disaster Area.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
