Posted 12/18/2024 18:41 (#11015753 - in reply to #11015687) Subject: RE: reporting income from sale of depreciated farm equipment
West Central Illinois
No that doesn’t sound right. You didn’t buy it with after-tax dollars. You deducted its cost via depreciation or possibly section 179.
If you sell it, you pay ordinary income tax up to the amount you depreciated. If you sell it for more than you depreciated then that amount might be capital gain.
Ask your accountant.
reporting income from sale of depreciated farm equipment
