I traded in one vehicle for a new one and began business use of it immediately. Is the trade-in value taxable to me? TT 2018 says so. Am I doing something wrong?

[semorrow]

I have two personal vehicles, one is used 30% for my schedule C business. I traded in the business use vehicle for a new SUV mid year 2018. TurboTax 2018 had me figure a depreciation equivalent and ended up charging a portion of the trade-in value to me as income/gain. Is this correct? I saw no place to indicate "trade-in" - only sale of the old vehicle and start of use of the new.

[MarilynG]

Prior to 2018, you could enter the exchange of one business vehicle for another business vehicle as a 'like kind exchange' and defer any gain.

Under the new tax law, only real estate qualifies as a like-kind exchange, so any capital gain on a business vehicle can no longer be deferred.

Here's more info:

https://ttlc.intuit.com/replies/3301982