Skip to main content
Level 2
April 27, 2022
Question

can you depreciate a motor that was replaced on a business vehicle

  • April 27, 2022
  • 2 replies
  • 28 views

A large truck owned by a  non profit has a replaced motor... Do I depreciate or expense

 

This topic has been closed for replies.

2 replies

Level 10
April 27, 2022

It may depends on the amount of the expenditure, and what, if any, elections or decisions the client has made regarding complying with IRS reg.  1.263 (a) 1

qbteachmt
Level 15
April 27, 2022

If they have been using the Mileage Allowance, it already has a maintenance, wear-and-tear component in the allowance, since it is for operating costs. You stated "large truck" but not "specialty vehicle." Details matter.

Don't yell at us; we're volunteers
sjrcpa
Level 15
April 27, 2022

Doubtful that a large truck owned by a nonprofit organization would use the mileage method.

The more I know the more I don’t know.
qbteachmt
Level 15
April 27, 2022

We don't know if "large" is a 3/4 ton or Semi or moving box van. We don't know if "motor" is $1,800 or $18,000.

Oh, there is so much we don't know...

Don't yell at us; we're volunteers