I have a client who uses their vehicle both for personal and for business. I filled the mileage and all other expenses under Motor Vehicle form.
The vehicle was purchased with financing so the client paid about $2000 on the interest portion of the vehicle that year (not the principal amount). Where can I put this amount?
I was thinking on line “Passenger vehicle (complete Chart 1)” line under “Interest on vehicle loan” header. This is in Motor Vehicle form.
My thinking was, perhaps until you fully pay the financing debt of a vehicle you don’t really own it and under that assumption the vehicle is a loan until fully paid.
Thank you