Question

Why I can't deduct the full depreciation value of my vehicle from my income?

Forum|Forum|4 years ago
April 17, 2022
1 reply
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I started a business in April of last year and purchased a car(~$18k) for it that is used solely for business. I tried to add it under Section 179 but TurboTax only recognizes it for ~$2k. Just to understand the scenario better, I put the purchase date for January and I was eligible for $12k. Why is that?

TurboTax Self Employed Online

ColeenD3

Did you have a profit? You cannot claim Section 179 deduction if you have a loss. The unclaimed portion of section 179 deduction will be carried over to future years. TurboTax will recognize this situation and carry over the surplus.

A

alin979140Author

Yes, it was my main source of income and I had a profit. The odd thing is changing the date from April to January as I said enables the option to have a one-time deduction based on the value of my car from my income.