Vehicle Depreciation

[Janitor Bob]

Client placed into service two-year old vehicle in her business. In Asset entry it has a life of 5 years...since two years old when placed in service, do I change the recovery period to three?

[jklcpa]

use 5 yrs

[jainen]

>>?since two years old when placed in service, do I change the recovery period to three?<<

No. You change the depreciable basis to the 2-year-old price, which is less than when the car was new.