claiming miles on personal vehicle for LLC

[kjtraxtle]

I use my personal vehicle 90% of the time for my sole proprietor LLC so I am claiming miles, but when I sold the truck Turbo tax is asking for the business portion of the sales price. It was my personal truck that I never sold to the business, not my business truck.   The answer should be 0 right?

[ColeenD3]

No, you used your vehicle for work 90% of the time. You have 10% personal use. You do not have to sell your vehicle to the business. The fact that you use it the majority of the time for work, makes it a business use vehicle with some personal use.

[kjtraxtle]

Thank you. So, if I don't put 0 in that spot then what do I put?

[AliciaP1]

You will enter 90% of the sales price you sold it for.  The tax rules require that you report any gain on the sale of an asset used predominantly for business.

[kjtraxtle]

The part im struggling with is We owned the truck for 8 years. We opened the business in October 2020 and claimed 100% use for those 3 months it was open. Then we were going to claim 90% use for the 6 months the business was open in 2021 prior to closing the business selling the truck and moving across country and buying a new truck. Both trucks bought qith our personal money but used for the business.  Maybe we should not claim that we used it at all if we only used it for a total of 9 months as that is allthe business was open before we moved and we paid for it with our own personal cash and owned for 8 years. doesnt make sense why i should have to pay taxes again on some i bought with my personal money just because i used it for business.

[ColeenD3]

This is how it works. Many tax laws don't make sense to people, especially when they are hit with something they weren't expecting.

The IRS requires that you take every expense you are entitled to take. You can't just not claim something because it is inconvenient or because it doesn't benefit you.