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April 11, 2022
Question

If I sell full depreciated equipment below market value, do I need to claim the income.

  • April 11, 2022
  • 1 reply
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1 reply

ColeenD3
April 11, 2022

Yes. FMV doesn't apply here. What matters is that you have fully depreciated your asset, which means it has a basis of zero. Even if you sell it for a dollar, you have a gain that must be reported.