Car and Truck Exp error on line 52

Forum|Forum|1 year ago
March 24, 2025
1 reply
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I have seen this posted in past years however I can not get past the error for "AMT dep allowed/allowable is too large"! I have an asset that is fully depreciated with Section 179 depreciation that we traded-in in 2024. Turbo tax looks like it is calculating an amount in line 40 and then adding it to the original basis which then creates an amount greater than line 51.

For example; original basis $37,563 purchased in 2021

Section 179 depreciation taken $37,563

Trade in 2024 for $27000 Turbo tax calculated the gain of $27000 (form 4797)

line 40 AMT depreciation deduction $3597

line 41 AMT adjustment -$3597

line 51 $37,563

line 52 $41,160- this is creating the error! Can not override that i see and unable to fix it any where that i can find

any help appreciated

Best answer by PatriciaV

Token number 6 6 1 6 8 1 2 7 2 7 4 4 2 7 4 @PatriciaV

Trying to send the token. Didn't seem like the screenshot was sent. Hope this sends.

Thank you for the token. We have reviewed the Car & Truck Worksheet and can confirm the form error you described. Your best option is to move the amount from Line 36(i) Special Depreciation Allowance to Line 37 Prior Depreciation and enter a zero for Line 36(i). That should resolve the form error and report the correct amount of gain on the sale.

PatriciaV

Employee

The amount on Part VII Line 52 is the sum of Part IV Line 39 and Line 40, and Line 39 can be changed. Perhaps you can adjust the total to resolve the form error.

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J_C_PAuthor

Unfortunately line 39 is currently 0 and unchangeable for me. So the formula you provided also doesn't prove out as line 39 is 0. It must be pulling the value in 36J which is currently 37563.

I think the problem is the formula for line 52 is not taking into account the negative value appearing in line 41.

Could it be a software glitch?

I am stuck with this error. Will this prevent me from filing electronically? It is only on the Worksheet that is kept for my records.

KrisD15

If you used Section 179 the first year, there should have been no AMT adjustment and therefore the entry for line 40 should be zero.

According to the IRS:

"Any part of the cost of any property for which you elected to take a section 179 expense deduction. The reduction to the depreciable basis of section 179 property by the amount of the section 179 expense deduction is the same for the regular tax and the AMT."

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