1) Since there is no minimum percentage of business use required to claim actual expenses for a business vehicle, you may wish to continue reporting this vehicle for your business.
2) Yes, TurboTax will adjust the depreciation calculations based on your change in business use. Note that if you claimed a Section 179 deduction in the year you first started using the vehicle for business, you may be subject to depreciation recapture because the business use dropped to 50% or less. Recapture is reported as ordinary income on Form 4797.
3) Every expense reduces your taxable business income.
4) If you would rather not track your vehicle expenses, converting the vehicle to personal use would eliminate the need to keep records. There is no impact on your taxable business income when you stop using a vehicle, other than a loss of the deduction.
5) Follow up to #2 above: If at the time you dispose/sell of the vehicle, it would have otherwise been depreciated fully (not considering an applicable 179 Deduction), then you should NOT be subject to Depreciation Recapture.
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