Vehicle Trade in

[ubedo]

I get two K-1's and a 1099, I traded in my work vehicle for a newer vehicle in 202. My question is how do I handle this in turbo tax? Does the trade in get split between the three companies? Do expenses get split between the three as I do work mostly from home and have unreimbursed expenses required of the two K-1 companies. Thanks!

[PatriciaV]

Yes, you may allocate vehicle expenses among your two investments and your self-employed business.

If you previously reported the old vehicle, you'll report the trade-in in the Vehicle Expense section of your Business. Indicate that you 'stopped using the vehicle' for business, and enter details about the Sale or Trade In.

Click this link for more detailed info on How to Enter a Business Vehicle Trade In.

For the replacement vehicle, it might be easier to use the standard mileage deduction rather than enter actual expenses (including depreciation) in three locations.

The unreimbursed partner expenses are entered in the Schedule K-1 interview. Look for the page "Describe the Partnership" and check the box for "I am required to pay..." TurboTax will later ask for more detail on your expenses.