Re: Damages to Leased Vehicle
Posted by Title to property is important on 11/20/08
Planning to buy something is not the same as actually having
bought it or having title to it and having a FMV appraisal
performed for that property.
It sounds like you took a deduction that only an owner of
title to the property can legally take.
You don't own a leased vehicle, you are really renting the
car. You cannot claim a reduction in value in something you
don't own. Does that make sense?
On 10/28/08, GregM wrote:
> In section A form 4684, Casualties & Thefts, I claimed a
> deduction due to Reduction in fair market value (FMV) of a
> car I had in 2006 because of each major accident it was in -
> it was a lease vehicle but I was planning to purchase it
> after the lease was up.
> In my Tax audit, the Auditor said that I cannot claim the
> reduction in value of the vehicle because it was a lease.
> The car was totaled in the next tax year so I obviously did
> not have the chance to purchase it anymore.
> Is it true that I cannot claim the loss in FMV of the
> vehicle given that I was planning to purchase it later on?
Posts on this thread, including this one
- Damages to Leased Vehicle, 10/28/08, by GregM.
- Re: Damages to Leased Vehicle, 11/20/08, by Title to property is important.