Can I Claim Depreciation Loss for a Scratched Car?

[PrestonMarie]

You cannot claim depreciation loss for a scratched car. Here is additional information: Meaning of Vehicle Depreciation: It is the financial representation of vehicle investment recovery, where a certain amount of funds is allocated annually to update vehicles and maintain transportation reproduction. Vehicle Depreciation Calculation Methods: Average calculation methods (straight-line method and units-of-production method): Straight-line method formula: Annual depreciation = Original value / Estimated useful life. Units-of-production method formula: Depreciation is calculated based on the distance traveled, depreciation = Original value (distance already traveled / estimated total distance). Accelerated depreciation methods (double-declining balance method and sum-of-the-years'-digits method): Double-declining balance method formula: Depreciation percentage = 2 / Estimated useful life. Annual depreciation = Beginning-of-year value (depreciation percentage). In the last two years of the estimated useful life, the remaining value is evenly distributed. Sum-of-the-years'-digits method formula: Depreciation = Original value (remaining useful life / sum of the years' digits).