Re: Auto loan

Hello! I have an auto loan which is for a car that I use for both work, and for personal family use. How should I categorize this in quickbooks? Can this qualify as a business expense?

posted

Hello @Miamimarinesurvey !

That is a great question. I'll start by suggesting you contacting a Quickbooks Live agent for assistance with your particular bookkeeping issue.

However, based on the info you provided here, I will say my advice would be to split the monthly transaction between business and personal expenses, based on a typical percentage of business to personal use. You can set Quickbooks up to do this automatically. If in a particular month you use the vehicle more for business than usual, you can fix the expense transactions in Quickbooks before closing the books. Also remember that from a tax perspective, the principal portion of the auto loan is not deductible, while the interest portion is.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"