Hi,
I have a question regarding the treatment of a motor vehicle that is used for both business and private purposes.
As an example, let’s say a vehicle was purchased for $75,000 and is used 30% for business and 70% for private purposes. When recording the asset and calculating depreciation, should I only claim depreciation on the business-use portion (i.e., 30% of the purchase price)?
Also, if the vehicle is later sold for $60,000, am I only required to account for 30% of the sale proceeds when calculating any balancing adjustment or capital gain/loss?
Appreciate any clarification. Thank you!
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254 views1 replies
1 replies
254 views
1 replies