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Truck that is listed property on an S-corporation return converted to personal use. If Section 179 was taken, does the S-corporation need to sell it to the shareholder for FMV and handle it like any other sale of asset. or because business use fell below 50% I just have to calculate recapture of depreciation over straight line.
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That may depend on what actually happened. Was personal use by the S Corp owner or another employee? Was the vehicle retitled in the name of the user?
If retitled, it's treated as a sale at FMV. If not, I would think the personal use would continue to be included every year in the W-2 of the person using it.
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He is the sole owner of the S Corp. He is thinking about closing the business and keeping the truck personally
