Eddie903
Level 4

Client disposed of vehicle in 2024, had 0 business use and reporting sale price of 25000. ProSeries is calculating depreciation when in fact it should be no depreciation.  Is there a way to opt out of this depreciation so it adds it back to the basis?

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Just-Lisa-Now-
Level 15
Level 15

if it was ever used for business, there will be depreciation to factor in whether they took mileage (a portion of the price per mile is for depreciation) or actual expenses.


♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
abctax55
Level 15

"....when in fact it should be no depreciation"

Err... in fact, per Pub 463, there IS depreciation: 

Rate of Depreciation Allowed in Standard Mileage
Rate
Year(s) Depreciation Rate per Mile
2024 0.30
2023 0.28
2021–2022 0.26
2020 0.27
2019 0.26
2017–2018 0.25
2015–2016 0.24
2014 0.22
2012–2013 0.23
2011 0.22
2010 0.23
2008–2009 0.21
2007 0.19
2005–2006 0.17
2003–2004 0.16
2001–2002 0.15
2000 0.14

HumanKind... Be Both
Michael
Level 3

I'm not understanding why you are reporting the sale of a vehicle with zero business use.

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TaxGuyBill
Level 15

Is this a 1040?

Was there NEVER any business use on the vehicle?  Or just no business use this year, but had business use in prior years?  What are the circumstances that there was there no business use in the current year (and was there personal use in the current year)?

 

Eddie903
Level 4

Prior years had business use, this year was sold on Jan 1st so no use at all for 2024. Uses actual expenses not milage rate. 

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sjrcpa
Level 15

Do you have input to indicate -0-% business use? Such as Total Miles xxxx, Business miles -0-?


The more I know the more I don’t know.
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