Can car gap insurance be deducted on schedule c?

[cheriwestphal1]

In addition to the Gap insurance can a car warranty plan be deducted on schedule C?

[Patrice · Accepted solution]

Yes, if the gap insurance and car warranty plan are for a vehicle that you use in your business.  However, you can only deduct the cost up to the percentage of vehicle business use.  For example, if you use the vehicle 30% for business and 70% personal then you can only deduct 30% of the gap insurance and 30% of the warranty plan.  

[cheriwestphal1]

Thank you, so where on the schedule C or under the vehicle deduction would this go under?

[Patrice]

In Home and Business, go to Business tab- then Continue
Choose Explore on my own or I'll choose what to work on (if it appears)
Scroll down to Business Income and Expenses - Click the Start or Update button
If needed, answer the interview questions regarding your business. After completion, you the TurboTax will move you to the Business Summary screen.
From here you can edit information for your business that includes the Business
Profile, Income, Expenses, etc. Please see the image above.
To enter Income, click start or update next to Cars, Trucks, etc