If I purchased my truck brand new in 2019 and have fully deprecated it over 3 or 5 years ( don't have tax forms with me currently) If I go to sell it now ( fully paid off ) the only tax I'll pay is income on it correct?
From my understanding it won't be capital gains tax as that's only if you buy something for say 50k and sell it for more that's considered a "gain"... Correct?
Assuming I'll have to pay both state and federal taxes on the income from the sale?
Rough estimate but for both truck and trailer estimated sale would be $125k
Selling used truck
Discussion in 'Trucker Taxes and Truck Financing' started by JonJon78, Jan 3, 2025.
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mtoo, Oxbow, blairandgretchen and 3 others Thank this.
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But, I've had enough of OTR and Truck ownership. Looking to cash out while ahead and get something local for now paid hourly probably just a class B truck maybe roll off dumpsters or dump work, something like that.DeereRunner97, Oxbow, D.Tibbitt and 4 others Thank this. -
...next maybe mid or end February
Lite bug, Oxbow, blairandgretchen and 3 others Thank this. -
I believe that anything that is depreciated is taxable.
mtoo, Oxbow, blairandgretchen and 1 other person Thank this. -
Taxed on total sales price, as income.JonJon78 and BoostedTeg Thank this. -
My tax guy calls it “recovered depreciation”. If it’s depreciated out and you sell for $125 you pay taxes on $125.
mtoo, JonJon78, BoostedTeg and 1 other person Thank this. -
I guess you could sell for cash or trade and hide the transaction, we don’t run the grey area. -
You could always "donate it" to the guy with a cash payment made in the basement.
Oh I did NOT say that.....
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